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Ejike Kanife
Guest
VFD Microfinance Bank’s parent company, Viadaz Finance and Development Group (VFD Group) has posted an impressive profit before tax of nearly 5 billion naira (4.95 billion naira) in the nine months between January and September 2024. The company disclosed this in its 2024 financial highlights released on Tuesday.
The 5 billion profit before tax posted in the first nine months of the year represents an astounding 430 per cent increase from the nearly 1 billion (0.93 billion) naira posted during the same period in 2023. This is a really strong performance by the agnostic investment company despite challenging operational conditions in the country.
VFD Group also recorded an impressive total revenue haul of 45.01 billion naira within the period under review. This represents a 55 per cent increase from the 25.03 billion naira earnings grossed over the same period last year. This growth rate is even more impressive than the 32 per cent growth recorded after the same period last year.
This development is coming just months after the company announced its intention to raise an additional 30 billion naira capital to bolster its financial base and support its ambitious growth plans.
At the listing of VFD Group’s stocks on the NGX in October 2023
According to the company’s secretary, Gbeminiyi Shoda, the raise will be made through share issuance, global depository receipts, commercial papers, loans, convertible and non-convertible instruments, medium-term notes, and bonds.
While the company has not explained the reason behind the growth numbers, Chairman of VFD Group, Olatunde Busari, during the company’s annual general meeting held in June 2024, attributed the company’s achievements to the unwavering support of shareholders and the dedication of the staff.
“The previous year was marked by significant milestones that have not only shaped the history of our company but also laid a robust foundation for accelerated performance in 2024. These achievements are a testament to the unwavering support and contributions of our esteemed shareholders and dedicated staff”, he said.
A look at VFD Group’s unaudited financial highlights shows the company recorded 190 per cent growth in its earnings per share. In the 9 months under review, the group’s earnings per share rose to 10.4 naira per share, up from 3.59 naira per share in the same period last year.
The group also witnessed a 62 per cent growth in shareholder funds, rising from 32.53 billion naira in 2023 to 52.76 billion naira in the first nine months of 2024.
Finally, the group also grew the value of its total assets from 219.28 million to 295.86 billion naira, representing a 35 per cent uptick. While this is impressive, the growth rate is slower than last year when the company experienced a 45 per cent growth rate in total assets.
VFD Group looks on track to return to profitability in 2024. This will be an impressive turnaround from 2023 when the company posted a net loss of N750.4 million as against the N6.68 billion net profit that it posted in 2022.
While issues like naira depreciation which was cited as the cause of last year’s loss still persist, it is expected that the group would have put buffers in place to make sure they do not prove as costly in 2024 as they did last year.
The post VFD Group posts nearly N5bn profit before tax in 9 months as it looks to rebound from 2023 loss first appeared on Technext.
The 5 billion profit before tax posted in the first nine months of the year represents an astounding 430 per cent increase from the nearly 1 billion (0.93 billion) naira posted during the same period in 2023. This is a really strong performance by the agnostic investment company despite challenging operational conditions in the country.
VFD Group also recorded an impressive total revenue haul of 45.01 billion naira within the period under review. This represents a 55 per cent increase from the 25.03 billion naira earnings grossed over the same period last year. This growth rate is even more impressive than the 32 per cent growth recorded after the same period last year.
This development is coming just months after the company announced its intention to raise an additional 30 billion naira capital to bolster its financial base and support its ambitious growth plans.
At the listing of VFD Group’s stocks on the NGX in October 2023
According to the company’s secretary, Gbeminiyi Shoda, the raise will be made through share issuance, global depository receipts, commercial papers, loans, convertible and non-convertible instruments, medium-term notes, and bonds.
While the company has not explained the reason behind the growth numbers, Chairman of VFD Group, Olatunde Busari, during the company’s annual general meeting held in June 2024, attributed the company’s achievements to the unwavering support of shareholders and the dedication of the staff.
“The previous year was marked by significant milestones that have not only shaped the history of our company but also laid a robust foundation for accelerated performance in 2024. These achievements are a testament to the unwavering support and contributions of our esteemed shareholders and dedicated staff”, he said.
VFD Group looking to recover from last year’s loss
A look at VFD Group’s unaudited financial highlights shows the company recorded 190 per cent growth in its earnings per share. In the 9 months under review, the group’s earnings per share rose to 10.4 naira per share, up from 3.59 naira per share in the same period last year.
The group also witnessed a 62 per cent growth in shareholder funds, rising from 32.53 billion naira in 2023 to 52.76 billion naira in the first nine months of 2024.
Finally, the group also grew the value of its total assets from 219.28 million to 295.86 billion naira, representing a 35 per cent uptick. While this is impressive, the growth rate is slower than last year when the company experienced a 45 per cent growth rate in total assets.
VFD Group looks on track to return to profitability in 2024. This will be an impressive turnaround from 2023 when the company posted a net loss of N750.4 million as against the N6.68 billion net profit that it posted in 2022.
While issues like naira depreciation which was cited as the cause of last year’s loss still persist, it is expected that the group would have put buffers in place to make sure they do not prove as costly in 2024 as they did last year.
The post VFD Group posts nearly N5bn profit before tax in 9 months as it looks to rebound from 2023 loss first appeared on Technext.