February 16, 2023
In United States dollars (except where it is indicated otherwise):
Sygnus Credit Investments Limited, for the six months ended December 31, 2022, reported Interest Income of US$5.99 million 27% increase on the US$4.70 million recorded in 2021. For the quarter, Interest Income rose 30% to US$3.21 million (2021: US$2.46 million). Interest expense amounted to US$2.63 million for the six months (2021: US$1.02 million). As a result, net interest income for the period amounted to US$3.36 million (2021: US$3.68 million), while for the quarter net interest income closed at US$1.80 million (2021: US$1.86 million).
The Company also reported Fair Value Gain of US$1.49 million, relative to a gain of US$373,148 booked in 2021 and other income amounted to US$33,602 (2021: US$13,055).
As such, Sygnus reported net revenue of US$4.88 million compared to US$4.07 million. For the quarter, Sygnus booked net revenue of US$2.32 million versus US$1.80 million for the quarter ended December 31, 2021.
Total Expenses for the period amounted to US$1.91 million, a 21% increase relative to US$1.58 million recorded for the corresponding period in 2021. Of expenses:
Impairment allowance on financial assets amounted to US$20,595 (2021:US$126,032).
- Other expenses for the period amounted to US$550,238 (2021: US$319,778).
- Total expenses for the quarter amounted to US$1.03 million relative to US$840,582 recorded for the same quarter of 2021.
- Profit for the period amounted to US$2.86 million, 16% up from 2021’s US$2.46 million. As for the quarter the Company booked profit of US$1.23 million, 29% higher than US$953,934 for the same quarter of 2021.
As a result, Earnings per share (EPS) for the period amounted to US$0.00503 relative to an earnings per share of US$0.00422 for 2021. EPS for the quarter amounted to US$0.00218 (2021: US$0.00162). The twelve months trailing EPS amounted to US$0.0071. The number of shares used in our calculations amounted to 590,975,463 units. Notably, SCIJA and SCIJMD closed the trading period on February 15, 2023 at a price of $0.12 and $12.15, respectively. SCIUS and SCIUSD closed the trading period on February 15, 2022 at US$0.10 and US$20.90, respectively.
Balance Sheet Highlights
As at December 31, 2022, Sygnus’ total assets amounted to US$153.60 million, a 39% increase on 2021’s assets base of US$110.34 million. This was mainly due to an increase in ‘Investment’ to US$135.61 million (2021: US$86.06 million) and ‘Finace lease receivables’ to US$1.61 million (2021: US$2,036)
Total Stockholders’ equity as at December 31, 2022, closed at $68.77 million, a 2% increase from $67.65 million for the corresponding period last year. This resulted in a book value per share of US$0.116 (2021:US$0.114).
Disclaimer:
Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer (s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation(s) or view (s) expressed by that research analyst in this research report.
Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.