IDLC makes Tk. 1,809mn profit in first 9 months | daily-sun.com

IDLC makes Tk. 1,809mn profit in first 9 months

Press release     17th October, 2017 10:00:35 printer

IDLC makes Tk. 1,809mn profit in first 9 months

IDLC Finance Limited reported Net Profit after Tax of Tk1,809mn in the first 9 months of 2017, recording asubstantial growth of 35% from the same period last year. Earnings per Share also increased 18% to reach Taka 4.90 for the period.

 

In these 9 months IDLC acquired 8,563 new customers and grew the Customer Assets portfolio by 13% or Tk 8,341mn to end September 2017 with a loan book of Tk 70.61bn.

The growth in customer assets was driven primarily by the SME Loans, which experienced a healthy 20% growth in this period. SME loans currently stand at taka 31.31bn and comprise 46% of the total loan book of IDLC.  Consumer loans also grew 11% in the corresponding period to stand at Taka 23.8bn.

 

In the reported period, IDLC’s annualized ROA and ROE figures stood at 2.75% and 22.90% respectively, compared to 2.38% and 21.98% respectively, in the same period last year. The NPL (Non-performing Loan) ratio stood at 2.83% as at September 30, 2017 compared to 2.98% as at December 31, 2016.

 

Three subsidiary companies of IDLC, IDLC Securities Limited, IDLC Investments Limited and IDLC Asset Management Limited have delivered strong performances in 2017 so far.

 

Arif Khan, CEO & Managing Director of IDLC Finance Limited, expressed his satisfaction with the financial result of the company. He said, “Both our core lending businesses and capital market businesses continuedtheir growth momentum and delivered strong financial performance in 2017 so far. Resultantly, the group has produced an exceptional set of financial results. We hope to continue with this momentum and deliver the best possible results to our shareholders going forward”.

 

The company’s operating income rose by 29% year on year to Taka 4,863mn. The growth in Operating Income was driven by healthy Investment Income as well as increase in Net Interest Income and Fee Income. The company also continues its focus on people development, which is reflected in 6,493 man hours of training arranged during the third quarter.

 

Mr. Khanlaid out the blue print for the company to remain successful saying, “As deposit-advances margins remain compressed and competition becomes even stiffer, the success of any financial institution in the coming years will depend on how they can improve customer service, portfolio quality and operating efficiency.  We, at IDLC, have undertaken several initiatives to improve in all these areas and hope that these initiatives will set us apart from the competition in the coming years.”

 

Mr. Khan also thanked the Board of Directors of the company for their astute guidance and the customers and all stakeholders for their continued patronage of the company.


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