IDLC net profit witnesses 28pc growth

FE Desk | Published: February 16, 2018 00:29:32 | Updated: May 26, 2018 12:52:39

Arif Khan, CEO & Managing Director of IDLC Finance Limited disclosing the company's financial updates of 2017 in the city Thursday.

IDLC Finance Limited reported net profit after tax of BDT 2,277 million in the year 2017, recording a strong 28 per cent growth from last year.

"All our business divisions - SME, consumer, corporate and our capital market subsidiaries delivered a strong performance throughout the year resulting in a strong financial performance on a consolidated basis. In 2017, we managed to increase our loan book significantly while controlling the non-performing loan ratio (NPL). This sets the company a strong foundation based on which we can pursue further growth", Arif Khan, CEO & Managing Director of IDLC Finance Limited said while disclosing the company's latest financial updates Thursday.

Operating income for the year also increased by 22 per cent year-on-year and stood at BDT 6,280 million. The Board of Directors approved the consolidated financial statement in its meeting held Wednesday and proposed 30 per cent (Taka 3 per share) cash dividend for the shareholders.

In the reporting year, IDLC group acquired 11,295 new customers to take the total number of customers to nearly 50,000. Total customer loans grew by 15 per cent and stood at BDT 71,499 million at the end of the year.

The SME division of the company led the growth with an increment of BDT 4,797mn (18 per cent) in its portfolio to end the year with a BDT 30,851mn loan book. The consumer division grew its portfolio by 2,737mn (13 per cent) to end at BDT 24,152mn while the corporate division closed the year with loans of BDT 14,432mn recording a growth of 8.0 per cent.

The Non-Performing Loans (NPL) of the company reduced to 2.77 per cent at the end of 2017, compared to 2.98 per cent in the previous year.

Three subsidiaries of the company, IDLC Securities Limited, IDLC Investments limited and IDLC Asset Management Limited also posted thriving performance with 267 per cent, 63 per cent and 275 per cent growth, respectively, in profitability over the preceding year, contributing to a very strong group performance.

"We thank our customers, Board of Directors, colleagues and all stakeholders for the resounding success that we have had in 2017. We will work hard to exceed this performance in 2018 and beyond. But above all, we will strive to uphold the standard of superior corporate governance and transparency that IDLC has established over its 33 years of existence", Arif Khan said.

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