The revenue of Infinity Trust Mortgage Bank Plc plunged by 2.21%, from N326.2 million in Q3 2019 to N319.0 million in Q3 2020; while its Profit after Tax surged by 42.98% to N117.24 million in Q3 2020 in the period under review, according to its Q3 2020 financial statement.
Further analysis of the results indicate that the decline in revenue is due to a 6.9% decrease in Interest and similar income, as well as a 25.8% net fees and commission income. This is understandable considering that companies have recorded decreased revenues, largely due to the COVID-19 pandemic, which has affected the income of both individuals and businesses worldwide.
The reported Profit before Tax grew by 41.98% to N122.2 million from N83.9 million in the period under review. This can be attributed to an increase in other operating income, which increased by 82.67% to N45.28 million in the same period. This also moderated the negative effects of the deficit recorded on Interest and similar income, and Net fees and commission income on the total revenues.
Infinity Trust Mortgage Bank Plc was incorporated on 28th, January 2002, as Infinity Trust Savings & Loans Limited. However, it commenced business operations in Abuja, in 2003. As part of its strategic turn-around, the bank was converted to a Public Limited Liability Company on 25th, January 2013, and had to change its name to Infinity Trust Mortgage Bank Plc.
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In 2014, it became a National Mortgage Bank. Currently, the bank has equity shareholding in the Nigeria Mortgage Refinance Company (NMRC).
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Following the conversion of the company to a Public Limited Liability Company on 25th January 2013, the company’s shares were listed on the floor of the NSE on 11th December 2013. The shares currently trade at N1.36 per unit. The highest price for a unit of share in 52 weeks is N1.52 and the lowest is N1.26.
A total of 20,247 units were sold in the last seven days trades. Shares outstanding is 4,170,455,720 units and its market capitalization as at close of business on Monday, 5th October 2020 stood at N5.67 billion.
The Earnings Per Share (EPS) of the company surged by 30.28% in Q3 2020 from 7.86 kobo in Q3 2019 to 10.24 kobo in the period under consideration. A 42.98% increase in distributable profits made this possible.
Infinity Trust Mortgage Bank Plc was recently on-boarded as a participating Financial Institution by the Development Bank of Nigeria (DBN). This on-boarding enabled the company to access about N2.7 billion to lend its customers as mortgages.
Commenting on the development, the MD/CEO of the company, Mr. Olabanjo Obaleye said the partnership is key, as it strengthens the company’s ability to offer different kinds of loan products to individuals and MSMEs that constitute more than 90% of enterprises in the country.
The MD/CEO also admitted that the partnership with the DBN will further foster mortgage penetration in the country. “It will help us reach many more customers that are self-employed and those in the MSME space that want to purchase commercial properties like shop and offices. This will also improve financial inclusion for mortgage products. It will further broaden the mortgage penetration depth in the Nigerian market,” he said.
Abbey Mortgage Bank Plc operates in the same sub-sector as Infinity Trust Mortgage Bank Plc – Mortgage Carriers, Brokers, its share price is N1.05. The highest price for a unit of share in 52 weeks was N1.05 and the lowest N1.00. A total of 15,047 units was sold in the last seven days trades. Shares outstanding is 6,461,538,462 units and its market capitalization is N6.78 billion.