Phoenix Finance and Investments Ltd, a publicly traded non-bank financial institution, has informed that it registered a net loss of Tk 138 crore for the year ended in December 2022.
The non-bank’s board of directors did not declare any dividend for the last year owing to this surge in its losses.
The listed company had incurred a net loss of Tk 35 crore in 2021.
The NBFI for the last time had paid its shareholders a 12 per cent stock dividend in 2020.
As per its disclosure published on the bourses on Sunday, the company’s loss per share jumped to Tk 8.36 for 2022 from the loss per share of Tk 2.11 the year before.
The company’s annual general meeting (AGM) will be held on December 7 through the digital platform, and the record date has been fixed for October 12.
The NBFI’s net asset value (NAV) per share declined to Tk 9.18 in 2022 from Tk 17.54 in 2017.
In 2021, the non-bank financial institution paid a stock dividend to utilise its retained amounts as paid-up capital for improving the company's capital adequacy and thereby facilitating future business expansion.
Stock dividends were declared out of accumulated profit and not from capital reserve, revaluation reserve, or any unrealized gain, said the company.
Each share of the company closed at Tk 16.30 on Sunday.
The company also disbursed 6.0 per cent cash and 6.0 per cent stock dividends for the year ended on December 31, 2019.
The company’s paid-up capital is Tk 165 crore, while its authorised capital is Tk 300 crore.
The sponsor-directors owned a 30.51 per cent stake in the company, while the institutional investors held 23.63 per cent, and the general public 45.86 per cent as on August 31, 2023.
The company’s total operational expenses stood at Tk 307 crore in 2020, a 10.20 per cent decrease compared to Tk 342 crore in 2019.
The expenses had increased by 7.45 per cent in 2019 compared to Tk 319 crore in 2018.
Out of total operating expenses, 87.47 per cent was financing expenses, 9.34 per were salary and allowances, 1.08 per were depreciation, and 2.11 per were other overhead expenses.
Phoenix registered an operating profit of Tk 59.35 crore in 2020 compared to the profit of Tk 52.28 crore in 2019, registering a decrease of 13.52 per cent.
After making all provisions, including general provisions on unclassified loans, profit before tax stood at Tk 33 crore in 2020 compared to Tk 44.86 crore in 2019.
The net profit of the company stood at Tk 20 crore in 2020 compared to Tk 26 crore in 2019, registering a reasonable decrease of 23.98 per cent.
As on December 31, 2020, 93.53 per cent of the company’s total investment portfolio was regular, while only 6.47 per cent was non-performing compared to 7.06 per cent in 2019.
The company made the required provision as on December 31, 2020, against performing and non-performing loans as per rate and classification norms provided by Bangladesh Bank.
The volume of non-performing loans stood at Tk 169 crore in 2020, down from Tk 187 crore in 2019.
The non-bank’s total liabilities stood at Tk 2,662 crore as on December 31, 2021, compared to Tk 2,619 crore as on December 31, 2021, registering an increase of 1.65 per cent over the last year, whereas growth increased by 0.60 per cent in 2020 compared to Tk 2,603 crore in 2019.
