May 15, 2018
Victoria Mutual Investments (VMIL) for the three months ended March 31, 2018 reported total interest income of $180.93 million, a decline of 3% relative to the $185.84 million recorded for the corresponding period in 2017.
Interest expense for the period amounted to $114.72 million, a 1% decline relative to the $115.96 million recorded in 2017.
As such, Net interest income closed the period at $66.20 million, a 5% or $3.68 million decline relative to the $69.88 million recorded for the corresponding period in 2017.
VMIL recorded gains from investment activities for the period of $11.38 million, a 73% or $30.69 million fall relative to the gain of $42.07 recorded in 2017.
Net fees and commissions closed the period at $199.71 million, a gross increase of 63% compared with the $122.31 million recorded for the comparable period in 2017. The Company noted this was, “due to the Capital Markets Unit’s success in raising over $6.76 billion for corporate clients in this quarter.”
Other income for the year reflected a total of $7.94million, a significant increase of $6.42 million or 424% surge compared to $1.52 million recorded for last year.
Staff cost and other operating expenses increased 23% and 29% respectively, to close the period at $82.16 million (2017: $66.99 million) and $102.09 million (2017: $79.35 million) respectively.
Profit before taxation amounted to $100.98 million for the period, a 13% or $11.53 increase relative to $89.45 million recorded for the prior financial year. Taxation amounted to $22.28 million (2017: $22.62 million).
Consequently, net profit for the year totaled $78.70 million, an 18% or $11.87 million increase relative to the $66.83 million booked for the same period on 2017.
Earnings per share totalled $0.05 (2017: $0.04) for the period. The twelve month trailing earnings per share is $0.24.The number of shares used in our calculations 1,500,025,000 units. Notably, VMILs stock price closed the trading period on March 31, 2018 at a price of $4.23.
Management noted, “Our efficiency ratio moved from 62.06% for the corresponding prior year quarter to 64.6% for this quarter, due mainly to our investment in human resources as well as systems enhancements to meet the changing needs of our business.”
As at March 31, 2018, The Company’s asset base totaled $19.09 billion, up from $15.87 billion at March 31, 2017. The main contributor to the increase in total assets was ‘Cash and Cash Equivalents’ and ‘Resale Agreements’ which contributed $1.81 billion and $3.04 billion respectively relative to $224.58 million and $2.00 billion for the 2017 year end. VMIL noted, “Which was in line with the Group’s strategy for managing investment portfolios”.
Total Stockholders’ Equity as at March 31, 2018 was $2.52 billion (2017: $1.72 billion); resulting in a book value per share of $1.68 (2017: $1.14).
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