BusinessDay

Marine service business favours C & I Leasing as gross earnings hit N9bn

C & I Leasing Plc in its half-year financial statement available on the Nigerian Exchange group (NGX) reported revenue of N9.72 billion, primarily driven by the revenue generated from its marine services business in the first half of 2022.

Gross earnings generated in the first half of 2022 amounted to N9.72 billion, a 4.85 percent increase from N9.27 billion reported in the first half of 2021, with marine services business accounting for 76 percent of the total revenue generated in the period.

Revenue generated in Nigeria amounted to N7.38 billion in the first half of 2022 from N6.62 billion reported in the corresponding period of 2021, indicating an 11 percent increase during the period.

Furthermore, the leasing company generated revenue from Ghana and the United Arab Emirates amounting to N1.45 billion and N898 million respectively in the period under review.

Further breakdown of the gross earnings shows that marine services boosted revenue by accounting for 47 percent of the total gross earnings reported in the period. Marine services generated N4.59 billion in the period under review.

Fleet management, personal outsourcing, and citrack generated N2.05 billion, N668 million, and N69.86 million respectively in the first half of 2022.

The firm’s net lease rental income declined by 4.88 percent to N4.09 billion in the first half of 2022 from N4.30 billion in the first half of 2021.

Net outsourcing income reported by the company increased by 49 percent to N891 million in the first half of 2022, as opposed to N597 million reported in the first half of 2021.

Read also: C & I Leasing registers N50bn Commercial Paper Programme on FMDQ Exchange

Net tracking income which takes into account its tracking income and tracking expenses amounted to N34 million in the first half of 2022, a 12.8 percent decline from N38.9 million reported in the corresponding period of 2021.

Its profit after tax grew by 18.58 percent to N134 million in the first half of 2022 from N113 million in the corresponding period of 2021.

C & I Leasing saw its net finance cost appreciate by 5 percent in the first half of 2022 to N2.31 billion from N2.2 billion in the first half of 2021.

Profit attributable to the shareholders amounted to N107 million in the first half of 2022.

However, the leasing company saw both total assets and total shareholders’ equity decline by 0.91 percent and o.57 percent respectively in the period under review.

Its total assets declined to N57.49 billion in the first half of 2022 from N58.01 billion in the first half of 2021. Its shareholders’ equity also declined to N13.91 billion in the first half of 2022 from N13.98 billion in the same period last year.

The company’s cash and cash equivalent, that is, the amount of cash on hand plus other highly liquid assets readily convertible into cash in the period amounted to N-578 million in the first half of 2022, as against positive cash and cash equivalent of N255 million reported in the first half of 2021.

Its cash from operating activities after adjustments and changes in working capital amounted to N5.14 billion in the first half of 2022, higher than N-6.58 billion reported in the first half of 2021.

The leasing company’s net cash from investing activities amounted to N-2.05 billion in the first half of 2022, with the purchase of operating lease assets claiming a large chunk of the cash outflow amounting to N2.91 billion.

For financing activities, the increase in borrowings and finance costs amounted to N1.78 billion and N2.31 billion, bringing net cash from financing activities to N-3.92 billion in the first half of 2022.

The company reported earnings per share of N14 in the first half of 2022.

The C&I Leasing group of companies serves its clients through three divisions; fleet management, outsourcing, and marine services with two subsidiaries in Ghana (Leasafric) and the United Arab Emirates (EPIC International FZE).

Get real time updates directly on you device, subscribe now.