Custodian Investment Plc records 17% increase in gross earnings

Custodian Investment Plc has posted a growth of 16.6 percent in gross earnings for its financial year ended December 31, 2018.

The non-bank financial institution’s result released yesterday on the Nigerian Stock Exchange (NSE) showed strong financial performance across all business lines, reaffirming the resilience of the company’s business model.

The company’s gross revenue for the year grew by 16.6 per cent to N50.2 billion from N43.1 billion reported in 2017. Despite the challenging business environment in 2018, profit before tax rose to N9.5 billion from N8.9 billion posted in 2017.

Total asset base and shareholders’ funds remained strong at N98.1 billion and N40.5 billion with year-on-year growths of 21.8 per cent and 13.2 per cent, respectively. Gross premium income from the insurance subsidiaries was up by 14.8 per cent to N36.7 billion in 2018 from N32 billion reported in 2017.

Fees and commission rose to N4.1 billion from N3.4 billion, an increase of 18.6 per cent. Investment income grew by 20.5 per cent to N7.7 billion in 2018 from N6.4 billion in 2017. Profit before tax went up by 6.4 per cent to N9.5 billion in 2018 from N8.9 billion in 2017, while net profit for the year was slightly depressed due to additional provision for taxes. Total assets grew by 21.8 per cent to N98.1 billion in 2018 from N80.6 billion in 2017; financial assets witnessed a year-on-year growth of 19.8 per cent to N59.2 billion in 2018 from N49.4 billion in 2017 while net assets per share rose from N6.09 per share in 2017 to N6.89 in 2019, up 13.1 per cent.

In line with the company’s tradition of reciprocating its shareholders’ loyalty, the board of directors proosed a final dividend of 35 kobo, in addition to the 10 kobo interim dividend that was previously paid to its shareholders, thereby making it a total dividend of 45 kobo per ordinary share of 50 kobo to be paid out of the results achieved in 2018.

The Managing Director of the company, Mr. Wole Oshin, expressed satisfaction with the result considering the operational headwinds of the year 2018.

He stated that the company will continue to thrive in all sectors in which it operates as it will be guided by its vision to always exceed stakeholders’ expectations in the delivery of services to its esteemed clients, observance of high corporate governance standards and the recruitment and retention of highly skilled personnel while leveraging on innovation and bespoke technology.