VFD Group Plc, a leading proprietary investment company in Lagos, has released its financial result for the year ended December 31, 2020, and reported that its profit after tax grew by 170% to N3.3 billion.
The result showed significant growth and resilience despite lingering uncertainties during the period under review.
Major highlights of the impressive earning results include:
- The company’s Gross Earnings grew by 96% to N6.65 billion from N3.39 billion.
- PBT grew year-on-year by 176%.
- Trading and Other Non-Interest Income grew by 47% to N.4.66 billion from N3.17 billion.
- A 14% year-on-year decline in Credit Losses and Impairment despite the well documented impact of COVID 19 on the Nigerian economy, and in particular, financial services.
- A Total Asset growth of 85% to N81.67 billion from N44.23 billion.
Further details of the report shows that above Gross Earnings performance was driven by significant growth in Interest Income which grew by 90%, while the impressive PBT result was also supported by the business’s ability to keep cost growth lower than revenue growth, as Expenses grew by only 34%.
Based on the impressive results, VFD Group Plc has proposed a final dividend of N8.51 per share. Investment industry insiders say this is a validation of the company’s investment strategy and leadership which reaffirms its position as a unique industry-agnostic investment outfit. In comparison, this is a 158% increase in dividend payout.
According to Nonso Okpala, GMD/CEO VFD Group, “2020 was a challenging year for the global economy with the onset of a pandemic that questioned every known business principle. However, we weathered it and delivered our best financial performance so far. This was only made possible through the dedication of our staff and the support from our shareholders and other key business stakeholders. It is quite rewarding to see the outcome of those uncertain twelve months.”
Focusing on strategic activities, VFD Group reported that its leading digital banking application, which was launched during the year, had crossed the #250,000 milestone in unique customers acquired. Other strategic highlights include investment in Abbey Mortgage Bank and Atiat Leasing Limited, revamping of its hospitality business, and investment in Atiat Insurance Brokers Limited.
Okpala noted that “the company is well on course to achieve all outlined objectives in its 13yr strategic plan while it also shifts its short-term focus towards partnership and investment opportunities beyond Nigeria.”