- NMRC Reports N482m Profit in 2015
The Nigeria Mortgage Refinance Company (NMRC) recorded significant increase in its profitability, which came up to N482 million in 2015 as against N160 million in 2014.
The nation’s leading and foremost mortgage Refinance Company also recorded total assets of N39.01 billion in 2015 against N10.6 billion in 2014.
This result was presented at NMRC’s 2nd Annual General Meeting in Lagos. Shareholders of the Company approved all the proposals put forward by its Board of Directors at the AGM, including the appointment of four independent Directors, Dr. Charles Okeahalam – Chairman; Mr. Charles Candide-Johnson, SAN; Dr. Anino Emuwa; and Mrs. Fatima Wali-Abdurrahman. The appointment of Mr. Adeniyi Akinlusi as a Non-Executive Director was also approved.
The Company’s Chief Executive Officer, Professor Charles Inyangete noted that as NMRC continued its journey towards greater financial strength, the main focus and long term strategy of the company was on improving mortgage penetration by growing the supply and the demand side of the housing value-chain.
Professor Inyangete also stated that despite the headwinds confronting the housing sector in Nigeria, the Company would continue to explore opportunities presented by its access to long-term funding from the Capital market to drive its mandate and ultimately reverse the widening housing deficit, while ensuring superior performance and returns to investors and stakeholders.
The Chairman of NMRC, Dr. Charles Okeahalam said there was an improvement in the performance of the company, adding “We are very pleased with the achievements of the management, led by the Chief Executive; the effort they have made in the difficult socio-economic environment Nigeria has presently.
The currency has a number of values, interest rates are very high and inflation has doubled from 9% in May 2015 to almost 18% with the latest number that has come up.
According to analysts, NMRC’s profit in 2015, though higher than the previous year, could have been much higher if conforming mortgages were readily available in the market for the Company to refinance. They expect that as the mortgage market grows, the Company’s footprint would expand substantially.
The Company’s Chief Financial Officer, Mr. Kehinde Ogundimu noted that the company was taking necessary steps to preserve and grow the organisation’s capital with a view to deepening and sustaining its core refinancing operations.
According to Dr. Femi Johnson, a Director of NMRC and President at Mortgage Banking Association of Nigeria, the performance of the company was “fine, considering the economic clime we find ourselves, despite that the company made good profit, even though it is in its second year of operation. We are impressed with the performance and we are also looking at areas that require strong improvement but the overall it is a good performance.”
On the performance of NMRC, Mr. Adeniyi Akinlusi, Chief Executive of Trust Bond Mortgage Bank and a non-Executive Director of NMRC, said the it is quite notable “for an institution that started barely 18 months ago for having been able to break all the grounds, recoup all loses and make profit is quite commendable, particularly at this time in the country when we facing economic challenges.”
The said there was however room for improvement, in terms of reducing the housing deficit, saying that should be the next focus.
He said there was also the issue of having mortgages that are single-digit interest rates, even though that may be a tall order, because of present inflation of over 17 per cent, but that it is an area to be worked on.
He also talked about working on property development and on education Nigerians on the benefit of taking mortgages because of its wealth-creation benefits.
COVID-19: CBN Extends Loan Repayment by Another One Year
Central Bank Extends One-Year Moratorium by 12 Months
The Central Bank of Nigeria (CBN) has extended the repayment of its discounted interest rate on intervention facility by another one-year following the expiration of the first 12 months moratorium approved on March 1, 2020.
The apex bank stated in a circular titled ‘Re: Regulatory forbearance for the restructuring of credit facilities of other financial institutions impacted by COVID-19’ and released on Wednesday to all financial institutions.
In the circular signed by Kelvin Amugo, the Director, Financial Policy and Regulation Department, CBN, the apex bank said the role-over of the moratorium on the facilities would be considered on a case by case basis.
The circular read, “The Central Bank of Nigeria reduced the interest rates on the CBN intervention facilities from nine per cent to five per cent per annum for one year effective March 1, 2020, as part of measures to mitigate the negative impact of COVID-19 pandemic on the Nigerian economy.
“Credit facilities, availed through participating banks and OFIs, were also granted a one-year moratorium on all principal payments with effect from March 1, 2020.
“Following the expiration of the above timelines, the CBN hereby approves as follows:
“The extension by another 12 months to February 28, 2022 of the discounted interest rate for the CBN intervention facilities.
“The role-over of the moratorium on the above facilities shall be considered on a case by case basis.”
It would be recalled that the apex bank reduced the interest rate on its intervention facility from nine percent to five percent and approved a 12-month moratorium in March 2020 to ease the negative impact of COVID-19 on businesses.
To further deepen economic recovery and stimulate growth, the apex bank has extended the one year-moratorium until February 28, 2022.
MTN Nigeria Generates N1.35 Trillion in Revenue in 2020
MTN Nigeria Grows Revenue by 15.1 Percent from N1.169 Trillion in 2019 to N1.35 Trillion in 2020
Despite the COVID-19 pandemic and challenging business environment, MTN Nigeria realised N1.346 trillion in revenue in the financial year ended December 31, 2020.
The leading telecommunications giant grew revenue by 15.1 percent from N1.169 trillion posted in the same period of 2019.
Operating profit surprisingly jumped by 8.5 percent from N393.225 billion in 2019 to N426.713 billion in 2020.
This, the telecom giant attributed to the surge in finance costs due to increased borrowings from N413 billion in 2019 to N521 billion in 2020.
MTN Nigeria further stated that the increase in finance costs was the reason for the decline in growth of profit before tax to 2.6 percent.
MTN Nigeria grew profit before tax by 2.6 percent to N298.874 billion, up from N291.277 billion filed in the corresponding period of 2019.
The company posted N205.214 billion profit for the year, a 0.9 percent increase from N203.283 billion recorded in the 2019 financial year.
Share capital remained unchanged at N407 million. While Total equity increased by 22.3 percent from N145.857 billion in 2019 to N178.386 billion in 2020.
MTN Nigeria’s market price per share increased by 61.8 percent from N105 to N169.90.
While market capitalisation as at year-end also expanded by 61.8 percent to N3.458 trillion, up from N2.137 trillion.
The number of shares issued and fully paid as at year-end stood at 20.354 million.
MTN Nigeria margins were affected by Naira devaluations and capital expenditure due to the new 4G network coverage roll-out.
“Margins were adversely affected by the effect of naira devaluation and expenses associated with new sites’ roll-out to boost 4G network coverage in FY’20.
“On the former, we note that MTNN expanded the scope of its service agreement with IHS Holding Limited and changed the reference rate for converting USD tower expenses to NAFEX (vs CBN’s official rate previously). Thus, over the full-year period, the company’s operating margin contracted by 1.9 ppts YoY to 31.7%,” CardinalStone stated in its latest report.
Nestle Nigeria Approves Final Dividend of N35.50k per 50 Kobo Ordinary Share for 2020
Nestle Nigeria Approves Final Dividend of N35.50k per 50 Kobo Ordinary Share for 2020
Nestle Nigeria, a leading food and beverage company, has declared a final dividend of N35.50k per 50 kobo ordinary share for the year ended December 31, 2020.
The beverage company said N24.50k of the amount declared was from the after-tax profit of 2020 and N5 and N6 were from the after-tax retained earnings of the years ended December 2019 and 2018, respectively.
Nestle Nigeria stated that the amount declared is subject to appropriate withholding tax and approval at the Annual General Meeting of shareholders.
It also noted that payment will be made only to shareholders whose names appear in the Register of Members as at the close of business on 21 May 2021.
Dividends will be paid electronically to shareholders whose names appear on the Register of Members as at 21 May 2021, and who have completed the e-dividend registration and mandated the Registrar to pay their dividends directly into their Bank accounts.
Shareholders who are yet to complete the e-dividend registration are advised to download the Registrar’s E-Dividend Mandate Activation Form, which is also available on their website: www.gtlregistrars.com, complete and submit to the Registrar or their respective Banks.
News3 weeks ago
Doctors Warn Covid Will Become Endemic and People Need to Learn to Live With it
News1 week ago
U.S. COVID-19 Deaths Hit 500,000
Bitcoin2 weeks ago
Bitcoin Surges Above $50,000 Per Coin on Tuesday, Sets a New All-Time High
Economy2 weeks ago
Petrol Subsidy May Hit N11.2bn Per Week
Bitcoin1 week ago
Bitcoin Rebounds To $50,881 Per Coin on Wednesday
Economy3 weeks ago
Petrol Landing Cost Rises to N180, Oil Crosses $60
Cryptocurrency4 weeks ago
Why CBN Bans Banks from Facilitating Cryptocurrency Exchanges
Banking Sector2 weeks ago
Banks Turning Female Marketers to Sexual Slaves – Senator