By Hilary Mare
IN its maiden annual results following its successful listing on the Namibian Stock Exchange on 28 September 2017, Letshego Holdings Namibia has declared a maiden dividend to shareholders of N$0.192 cents per share.
In essence, Letshego recorded double digit growth in both revenues and profits and exceeded all financial projections that were included in its IPO prospectus.
The company’s profit after tax increased by 17 percent, total revenues increased 14 percent year-on-year, loan book increased 14 percent year-on-year and non-performing loans decreased from 4.4 percent to 3.9 percent due to better recovery rates.
Chief Executive Officer for Letshego Namibia, Ester Kali highlighted that the company was very much in the investment and growth phase of its journey, and as such, was proud to report a promising and positive first set of Annual Results for 2017.
“This last financial year was significant in helping us build a lasting legacy through our inclusive IPO, and subsequent successful listing on the Namibian Stock Exchange.
“Ekwafu Letu – the name given to our IPO meaning “our support” – was an ideal platform for us to demonstrate Letshego’s commitment to financial inclusion. Our approach to the IPO reflected a number of Letshego’s core philosophies, such as extending our reach to Namibians located far and wide, empowering individuals with increased awareness around the merits of managing their hard earned money effectively, and enhancing customer experience with a simple, affordable and appropriate offer,” she said.
Letshego Namibia’s core business, the ‘deduction at source’ borrowing solutions, performed well in 2017. Letshego Namibia realised a satisfactory 14 percent loan book growth in this segment, up N$305 million from N$2.1 billion in 2016, to N$2.4 billion in 2017.
In 2017 Letshego Namibia launched the ‘LetsGo’ value proposition to a targeted base of customers, and will continue this roll-out parallel to the implementation of its access channels. Namibia’s continued investment in skills development and systems has strengthened the organisation’s operational platforms and choice in access channels for customers.
“Our on-going efforts to provide more inclusive offerings to the formal, informal and MSE segments of Namibia are already delivering positive growth and dividends for the business, despite us still being in the early stages of growth on the MSE segment. 2018 is expected to be another milestone in Letshego Namibia’s journey as we celebrate 10 years of improving lives. Our commitment to our customers remains unwavering and we look forward to celebrating another decade of dedicated and sustainable growth,” concluded Kali.
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