This Earnings Press Release should be read in conjunction with the Unaudited Financial Statements for the period ended June 30th 2021. The Earnings Press Release and the Unaudited Financial Statements for the period ended June 30th 2021 are available on our website at https://africaprudential.com/investors/. This analysis is dated July 23rd 2021.Unless otherwise indicated, all amounts are expressed in Nigerian Naira, and have been primarily derived from the Company’s Financial Statements, prepared in accordance with the International Financial Reporting Standards (“IFRS”). The accounting policies used in the preparation of these financial statements are consistent with those used in the Company’s Unaudited Financial Statements for the period ended June 30th 2021. Additional information relating to the Company is available on the Company’s website. https://africaprudential.com/investor-relations/.
Africa Prudential Registrars Plc (AFRIPR.ng) HY2021 Interim Report
A year-on-year comparison between HY 2021 and HY 2020 reveals the following:
• Revenue from contracts with customers: N0.52 Billion, compared to N0.59 Billion in HY 2020 (12% YoY Decline);
• Interest Income: N1.15 Billion, compared to N1.28 Billion in HY 2020 (10% YoY Decline);
• Gross Earnings: N1.67 Billion, compared to N1.87 Billion in HY 2020 (11% YoY Decline);
• Profit Before Tax: N0.97 Billion, compared to N1.22 Billion in HY 2020 (20% YoY Decline);
• Profit After Tax: N0.83 Billion, compared to N1.08 Billion in HY 2020 (24% YoY Decline);
• Earnings Per Share: 41kobo. (54kobo in HY 2020)
• Total Assets: N88.87 Billion, compared to N17.73 Billion as at FY 2020 (401% YTD Increase);
• Total Liabilities: N80.71 Billion, compared to N9.36 Billion as at FY 2020 (762% YTD Increase);
• Shareholders’ Fund stood at N8.16 Billion, a 2% YTD decline from N8.37 Billion as at FY 2020.
ITEMS OF NOTE;
Comparing HY 2021 to HY 2020, we observed the following key items worthy of note:
• Revenue from contracts with customers: During the period under review, Revenue from contracts with customers contracted by 12% year-on-year on the back of a significant renegotiation of fees rate by customers along our corporate actions revenue lines as well as slow sign off of contracts within the period in digital consultancy. However revenue from register maintenance increased by 8%.
• Interest income: While the company was bullish with 436% increase in the interest realized from bonds and also a 193% increase in the interest realized from short term deposits, there was a slight 10% year-on-year decline in interest income owing to a 4% decline in interest on loans and advances and a nil income on T-Bills relative to HY 2020.
• Profit After Tax: On account of the business considerations around revenue and operating cost, PAT dereased by 24% year-on-year.
Comparing HY 2021 to FY 2020, the following were observed in the Balance Sheet:
• Total Assets: In the second quarter of 2021, the total assets increased 401% on the back of 7336% surge in cash and cash equivalents as well as an 70% increase in trade and other receivables.
• Total Liabilities: The company total liabilities increased by 762% Year-till-date driven by a 829% increase in customers’ deposits which accounted for about 99% of the company’s liabilities.
• Shareholder’s Wealth: Due to slight drop in earnings, total equity marginally declined by 2% year-to-date.
Notice of HY 2021 Conference Call:
Sequel to the release of our HY 2021 result, we would be hosting a conference call for Investors and Analysts on Thursday July 29th 2021.
For Further enquiries;
Chief Financial Officer