WorldStage Newsonline– Africa Prudential Plc, a leading share registration firm, investor and business support services provider in Nigeria has announced its Unaudited Financial Statements for the period ended September 30th 2020, with profit after tax decline by 6% in Q3 2020 on the back of the 29.61% reduction in revenue from contracts with customers, 5.4% reduction in other income, 3.4% increase in personnel expenses, and 17.2% increase in amortization of intangible assets
The result released at the Nigerian Stock Exchange showed a gross earnings of N2.63 billion and profit before tax of N1.569 billion.
Highlights of the result:
*Revenue from contracts with customers: During the third quarter of the year 2020, the company’s fees from corporate actions grew by 25.79%, register maintenance grew by 47.49% and revenue from digital technology consultancy significantly increased by 264.63% year-onyear. However, there was a revenue decline from fee from contracts by 30% year on year due to the impact of covid19 on our key clients which resulted in renegotiation and repricing.
*Interest income: Despite the poor yield environment, Africa Prudential’s interest income increased by 6% year-on-Year. This increase was fueled by 19.83% increase in interest income on loans and advances, and 780% increase in interest income on bonds. The total increase in interest income was achieved despite 45.94% reduction in interest income on treasury bills and 87.95% reduction in interest income on short-term deposits.
Commenting on the result, The Managing Director/CEO of Africa Prudential, Mr. Obong Idiong, had this to say: “While the negative economic impact of the Covid-19 continue to reflect on our traditional income lines, the transition of the company from a traditional Registrar Business to a technology business deploying technology to transform the Registrar, Cooperative, E-Commerce, and Digital Technology play could not have come at a better time. We are confident that as the Company’s new businesses continue to gather momentum, we will continue to deliver sustainable value to our investors.
“Among the gradual result of the transformation process is the 264% year-on-year growth in Digital Technology Consultancy income. We also grew our investment income by 6% year-on-year through an the efficient allocation of investmentible fund despite the prevailing low interest rate regime.
“We will continue to consolidate on our gains in the digital technology space to deliver great value and exceptional experience to clients across all our touch points.”
Africa Prudential Plc is the only registrar firm listed on the NSE, specializing in customer-focused, technologically driven service for corporations.
