IDLC Finance profit grows 80% in Jul-Sep
IDLC Finance Limited, the country's largest non-bank financial institution (NBFI), reported an 80% year-on-year profit growth in the July-September quarter, driven primarily by investment income from government securities.
On Sunday, its shares closed at Tk35, which was 3.55% higher than the previous session.
According to the un-audited financial statement for the third quarter of 2024 published on its website, the NBFI posted the consolidated net profit of Tk50 crore during the quarter, marking a significant increase from Tk27.84 crore in the previous year at the same time.
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At the end of the first nine months of this year, its consolidated net profit was Tk125 crore, which was 25% higher from the previous year at the same time.
During the January-September, the consolidated earnings per share stood at Tk3.02, which was Tk2.41 a year ago.
According to IDLC Finance's statement, its net interest income dropped over 9% to Tk117 crore in the third quarter of this year due to the deposits and borrowing cost increased.
However, its investment income mainly from the government securities jumped by 865% to Tk51.51 crore in the third quarter.
During the first nine months of this year, its interest income was Tk78 crore, which was 363% higher than the previous year at the same time.
IDLC invested Tk1,366 crore in government securities, a significant increase from Tk480 crore at the end of 2023. Over the past nine months, the company's investment in these securities surged by 184%.
At the end of September, its consolidated net asset value (NAV) was Tk47.22 and the consolidated net operating cash flow was Tk8.47.
Meanwhile, the company paid a 15% cash dividend to its shareholders for the year ended in 2023. Earlier, the financial institution paid the same dividend to its shareholders in 2022.
In 2023, the consolidated earnings per share of IDLC Finance stood at Tk3.64, down from Tk4.61 compared to the previous year.
As of September 2024, sponsor directors retain a 56.66% stake, institutional investors hold 28.59%, foreign investors 1.16% and general shareholders possess 13.59% of the company's shares.
