March 26, 2018
C&I Leasing Plc announces its audited results for the period ended 31st December 2017

Lagos, Nigeria – 26 March 2018

C&I Leasing Plc Records Revenue Growth of 26% Y-O-Y to N21.4 Billion from N17.0 Billion And 19% Increase in Profit After Tax to N1.1 Billion

C&I Leasing Plc (‘C&I Leasing’ or ‘the Group‛) today announces its audited results for the period ended 31 December 2017

Consolidated Income Statement

  • Gross earnings of N4 billion, up 26.0% year-on-year (Dec 2016: N17.0 billion)
  • Lease rental income of N0 billion, up 53.4% year-on-year (Dec 2016: N9.1 billion)
  • Personnel Outsourcing income increased by 5.6% to N2 billion year-on-year (Dec 2016: N5.9 billion)
  • Lease rental expense grew by 77.4% to N9 billion year-on-year (Dec 2016: N2.7 billion)
  • Net operating income of N4 billion, up 29.1% year-on-year (Dec 2016: N5.7 billion)
  • Profit before tax of N3 billion, an increase of 21.8% year-on-year (Dec 2016: N1.0 billion)
  • Profit after tax of N1 billion, up 21.0% year-on-year (Dec 2016: N920.9 million)
  • Basic earnings per share[1] of 65.85 kobo, up 21.6% year-on-year (Dec 2016: 54.17 kobo)

Consolidated Statement of Financial Position

  • Total assets of N0 billion, up 17.2% year-to-date (Dec 2016: N38.4 billion)
  • Operating lease assets of N2 billion, up 20.6% year-on-year (Dec 2016: N22.5 billion)
  • Shareholders’ funds of N1 billion, an increase of 12.5% year-on-year (Dec 2016: N8.1 billion)

Key Ratios

  • EBITDA margin[2] of 36.4% (Dec 2016: 34.9%)
  • Net profit margin[3] of 5.1% (Dec 2016: 5.4%)
  • EBITDA/Interest expense of 2.2x (Dec 2016: 2.2x)
  • Return on equity[4] (post-tax) of 12.1% (Dec 2016: 11.4%)
  • Net Debt[5]/ EBITDA of 3.3x (Dec 2016: 3.5x)
  • Net Debt/Equity of 2.8x (Dec 2016: 2.5x)
  • Net Debt/Total Capitalisation of 0.57x (Dec 2016: 0.54x)
  • Total Debt[6]/Total Capitalisation of 0.80x (Dec 2016: 0.79x)
  • Net Debt/Operating Profit of 23.0x (Dec 2016: 22.3x)
  • Asset turnover[7] of 0.48x (Dec 2016: 0.44x)
  • Capital adequacy ratio[8] of 20.6% (Dec 2016: 21.6%) (CBN requirement: 12.5%)

Operational Highlights

  • Expansion in our customer base in the food and beverage, financial services sector, pharmaceuticals, Oil & Gas, Engineering & Construction, and Power.
  • Significant growth (+20.6%) in operating lease assets during the period was due to additional investment in 4 new patrol boats and 1 AHTS by our foreign subsidiary, EPIC for a major client contract.
  • Personnel Outsourcing continues to record stable revenues and has expanded across several industries including Oil & Gas, Telecommunications, Banking, Manufacturing and Agriculture. The division is currently exploring diversification of its outsourcing business from purely personnel outsourcing to business process outsourcing by developing core competencies in human resource management, direct sale/representation for clients and call centres. Our training and manpower development is structured under our SDS training centre.
  • We currently manage over 4,437 (Dec 2016: 4,160) professionals that are spread across several industries and commercial entities, an increase of 6.7% in the year ago period.

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

Fleet Management, 34.8% of FY 2017 gross earnings, encompasses our Hertz franchise, our C&I Motors service centre and our citrack telematics solutions service. It is a one stop brand where we offer superior fleet management service to our clients. Our Ghanaian subsidiary, Leasafric Ghana, is the largest provider of outsourcing and fleet management services in Ghana expect sustained improvement in the performance of the company. Our fleet management business was positively impacted by strong growth in daily car rentals and expansion in our customer base

Positively impacting our performance across our outsourcing and fleet management businesses were newly executed contracts with a few top tier clients in the food and beverage, as well as financial services sectors, coupled with increasing our share of wallet of existing customers.

-Ends-

For further information please contact:

Alex Mbakogu

Chief Financial Officer

+2349037775833

alex.mbakogu@c-ileasing.com

C&I Leasing is a foremost brand for finance leases and other ancillary services in Nigeria. The C&I Leasing group of companies is made up of three divisions, Fleet Management, Outsourcing and Marine divisions and two subsidiaries in Leasafric, Ghana and EPIC International FZE, United Arab Emirates. With a balance sheet of over N45 billion, a total[1] staff strength of over 4,500 people, and operational offices in Lagos, Port Harcourt, Abuja, and Ghana, the Company takes pride in its track record of exceptional and qualitative service delivery. Today, the C&I Leasing plc brand is present across major sectors of the Nigerian economy, providing specialised services especially in Marine, Telecommunications, oil and Gas, Equipment Rentals, Manpower outsourcing and Transportation.

In 1997, C&I Leasing Plc concluded a major restructuring that saw its conversion to a public company with its share listed on the official list of the Nigerian Stock Exchange as the only leasing and support and logistics rentals services company.