Proven reports 65% decline in six months net profit attr. to shareholders

November 14, 2024

Expressed In United States dollars (except where it is indicated otherwise)

Proven Group Limited (PROVEN) for the six months ended September 30, 2024, reported a 4% increase in Interest Income totaling US$19.96 million compared to US$19.20 million in the corresponding period last year. Interest Income for the second quarter had a 4% increase to close at US$9.84 million compared to US$9.48 million for the comparable quarter of 2023.

Interest Expense amounted to US$11.40 million (2023: $10.04 million), this represents a decrease of 14% year over year. Consequently, net interest income decreased by 7% to US$8.56 million compared to US$9.16 million for the six months ended September 30, 2023. The company booked net interest income of US$4.03 million for the second quarter versus US$4.20 million reported for the similar quarter of 2023.

Operating revenue decreased by 5% to close at US$11.47 million (2023: US$12.12 million). Consequently, Net Revenue decrease by 2% from US$30.04 million in 2023 to US$29.37 million in the period under review.

Total operating expenses for the six months ended September 30, 2024 amounted to US$26.82 million, a 4% decrease relative to US$27.82 million reported in 2023.

Operating Profit for the six months ended September 30, 2024, amounted to US$2.55 million, a 15% increase relative to US$2.22 million reported in 2023. Operating Profit for the second quarter amounted to $1.79 million (2023: US$192,539).

Share of Results of Associates totaled US$1.07 million a 61% decrease from the corresponding period last year. (2023: US$2.73 million).

Profit before taxation totalled US$3.36 million a 32% decrease from the corresponding period last year. (2023: US$4.95 million).

Tax Charge for the six months ended September 30, 2024, amounted to US$550,020, a 370% increase relative to US$116,928 reported in 2023. As such, Net Profit for the six months ended September 30, 2024, had a 42% decrease to reach US$2.81 million (2023: US$4.83 million).

Net Profit Attributable to Shareholders for the six months amounted to US$1.30 million, a 65% decrease from the US$3.71 million reported in 2023. For the second quarter, Net Profit Attributable to Shareholders was US$3.13 million (2023: Net loss of US$171,064).

Consequently, Earnings Per Share for the six months amounted to US$0.002 (2023: EPS: US$0.005), while Earnings Per Share for the quarter totaled US$0.004 (2023: LPS: US$0.000). The twelve month trailing EPS was US$0.01 (J$1.96) and the number of shares used in these calculations was 801,732,000.

Notably, PROVEN’s stock price closed the trading period on November 14, 2024, at a price of J$18.00 with a corresponding P/E ratio of 9.18x.

Balance Sheet Highlights

The company’s assets totalled US$1.06 billion (2023: US$1.02 billion). The growth in total assets was led by a US$71.14 million increase in ‘Investment securities. However,  this was tempered by a US$34.32 million decline in ‘Cash and cash equivalents’.

Shareholder’s equity was US$115.49 million (2023: US$96.30 million), representing a book value per share of US$0.14 (2023: US$0.12).

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2024-11-14T18:20:09-05:00