May 15, 2025
VM Investments Limited (VMIL)
Unaudited financials for the first quarter ended March 31, 2025:
VM Investments Limited (VMIL) for the first quarter ended March 31, 2025, reported a 2% decrease in interest income totalling $389.76 million compared to $396.10 million in the corresponding three months last year.
Interest Expense amounted to $336.55 million (2024: $400.74 million), this represents a decrease of 16% year over year. Consequently, net interest/dividend income increased by 192% to $91.74 million compared to $31.40 million for the first quarter ended March 31, 2024.
Gains from investment activities decreased by 59% to close at $278.67 million (2024: $686.77 million), while Net fees and commissions increased by 43% from $181.54 million in 2024 to $258.98 million for the three months. As a result, Other operating revenue for the first quarter amounted to $541.95 million, a 38% decrease relative to $880.54 million reported in 2024.
Net interest/dividend income and other operating revenue for the three months amounted to $633.69 million, a 31% decrease relative to $911.94 million reported in 2024
Total operating expenses totalled $727.81 million a 55% increase from the corresponding period last year. (2024: $470.39 million).
Consequently, Operating Loss for the three months ended March 31, 2025, amounted to $94.12 million relative to operating profit of $441.55 million in 2024.
Loss before taxation for the first quarter ended March 31, 2025, amounted to $50.26 million (2024: Pretax profit of $456.24 million).
Tax credit for the three months had a 67% decrease to reach $17.74 million (2024: Tax credit of $53.97 million). As such, Net loss for the three months amounted to $32.53 million, a 106% decrease from the $510.21 million net profit reported in 2024.
Management highlighted, “The company’s performance in Q1 2025 was driven by strong growth in consolidated revenues, particularly a 43% increase in net fees and commissions due to heightened advisory and transaction-based activities. Net interest income also improved, reflecting strategic expansion efforts. However, the company recorded a net loss of $32.5 million, largely due to increased costs from a special restructuring exercise, credit loss provisions, and onboarding of key personnel to support long-term growth. Despite the loss, management remains optimistic, citing ongoing revenue and cost-saving initiatives and a growing transaction pipeline as key drivers for future performance.”
Consequently, Loss Per Share for the three months amounted to $0.02 (2024: EPS: $0.34). The twelve-month trailing EPS was $0.01, and the number of shares used in these calculations was 1,500,025,000.
Notably, VMIL’s stock price closed the trading period on May 14, 2025, at a price of $2.24.
Balance Sheet Highlights
The company’s assets totalled $31.90 billion (2024: $30.08 billion). VM noted, “Growth was primarily attributed to increases in investment securities and interest in associates.”
Shareholder’s equity was $3.05 billion (2024: $2.97 billion), representing a book value per share of $2.04 (2024: $1.98).
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