Consolidated Income Statement

  • Gross earnings of N6.5 billion, up 6.3% year-on-year (March 2017: N6.1 billion)
  • Lease rental income of N4.4 billion, up 6.1% year-on-year (March 2017: N4.1 billion)
  • Personnel outsourcing income increased by 4.2% to N1.63 billion year-on-year (March 2017: N1.57 billion)
  • Lease rental expense grew by 38.8% to N2.0 billion year-on-year (March 2017: N1.5 billion)
  • Net operating income of N1.9 billion, down 8.7% year-on-year (March 2017: N2.1 billion)
  • Profit before tax of N405.8million, up 32.7%year-on-year (March 2017: N305.7 million)
  • Profit after tax of N373.0 million, up 37.7%year-on-year (March 2017: N270.8 million)
  • Basic earnings per share of 23.1 kobo, up 37.9% year-on-year (March 2017: 16.75 kobo)

Consolidated Statement of Financial Position

  • Total assets of N46.6 billion, up 3.7% year-to-date (Dec 2017: N45.0 billion)
  • Operating lease assets of N27.8 billion, up 2.2% year-on-year (Dec 2017: N27.2 billion)
  • Shareholders’ funds of N9.6 billion, an increase of 6.0% year-on-year (Dec 2017: N9.1 billion)

Key Ratios

  • EBITDA margin of 35.5% (Dec 2017: 36.4%)
  • Net profit margin of 5.8% (Dec 2017: 5.1%)
  • EBITDA/Interest expense of 2.2x (Dec 2017: 2.2x)
  • Return on equity of 12.6% (Dec 2017: 12.1%)
  • Net Interest Bearing Liabilities/ EBITDA of 3.4x (Dec 2017: 3.5x)
  • Net Interest Bearing Liabilities/Equity of 2.9x (Dec 2017: 3.0x)
  • Net Interest Bearing Liabilities /Total Capitalisation of 0.6x (Dec 2017: 0.6x)
  • Total Interest Bearing Liabilities/Total Capitalisation of 0.63x (Dec 2017: 0.8x)
  • Asset turnover of 0.47x (Dec 2017: 0.48x)
  • Capital adequacy ratio of 9.7% (Dec 2017: 20.6%) (CBN requirement: 12.5%)

 

Commenting on the results, the MD/CEO of C&I Leasing Plc, Mr. Andrew Otike-Odibi said:

“We delivered a credible performance with a gross earnings growth of 6.3% to N6.5 billion, while profit before tax grew by 32.7% to N405.8 million. This was achieved through a combination of cost optimisation measures, more efficient utilisation of assets and heightened focus on our ‘efficient productivity’ agenda. We sustained growth opportunities across the three major lines of the business. The drop in our net operating income y-o-y, was primarily driven by the increase in lease asset expenses resulting from the hire of a third-party vessel to substitute one of our own which was undergoing maintenance. This has been completed and the vessel is back in operation.

As at 31 March 2018, the capital adequacy ratio stood at 9.7% below the CBN minimum requirement of 12.5%. However, this is due to the pending conversion of $10 million loan stock from Abraaj which is expected to be completed through 2018 and will result in our CAR returning to normalized levels.

We are continually appraising the opportunities presented by the current economic conditions with a view to optimising group synergies. As mentioned previously, our diversification strategy has proven successful. In the first quarter of 2018, our two overseas subsidiaries (Leasafric, Ghana and EPIC International FZE, United Arab Emirates) increased their contribution to the Group’s revenue to 34% from 25% in the same period in 2017.” ​

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