Dalex Finance, for end-December 2020, posted after tax profit of Ghs 5.9 million.
Compared to profit posted for end-December 2019 – Ghs 1.8 million – the Specialised Deposit-taking Institution (SDI), increased its profit by 325 percentage points on a year-on-year basis.
The 325 percentage points growth in the company’s profit comes on the back of profit growth-oriented strategies implemented by management of Dalex Finance.
A perusal of the company’s 2020 Audited Financial Statement by norvanreports, revealed that the astronomical growth in profit was mainly driven by increments in income from other sources – Other income – supported by a marginal expansion in its operating income.
‘Other income’ for the period between end-December 2019 and end-December 2020, increased from Ghs 9.9 million to Ghs 22.1 million, representing a year-on-year increase of Ghs 12.2 million.
Operating income for the period under review also increased from Ghs 42.3 million to Ghs 54.3 million.
Dalex Finance, over the course of last year, witnessed strong growth in its assets value as it ended 2020 with a net asset value of Ghs 801 million from the Ghs 660 million recorded in 2019.
The more than Ghs 141 million surge in assets value was driven by increments in Dalex Finance’s cash and cash equivalents and investment securities.
Cash and cash equivalents increased from Ghs 3.6 million in 2019 to Ghs 36.3 million, recording a 1,000 percentage points increment on a year-on-year basis.
Investment securities holdings by the firm, increased to Ghs 143 million from Ghs 125 million in 2021 and 2020 respectively.
With regards to liabilities, the SDI’s total liabilities recorded at end-December 2020, amounted to Ghs 722 million. An increase of Ghs 130 million from the 2019 recorded total liabilities of Ghs 592 million.
Items responsible for the recorded growth in the SDI’s liabilities were investments held by customers and interests payable on the investments.
Investments held by customers and interests payable on them at end-December 2020, amounted to Ghs 695 million and Ghs 10 million respectively.
Dalex Finance’s performance in terms of asset growth and particularly profit growth, for the year 2020 was impressive.
The SDI for the year 2020, encountered no challenges in its provision of the statutory liquidity demanded by the Bank of Ghana (BoG) for its operations as an SDI.
The company also had zero sanctions applied to its operations by the BoG as it conducted its activities in strict adherence to the various regulatory compliances instituted by the BOG.
