VBH Holdings Limited Achieved $4.3 Million Turnover in 2019 Compared to $5.5m in 2018
MARAIA VULA 019 was a challenging year in both fleet and property management sectors of VB Holdings Limited.
Company chief executive officer and board secretary Nitish (Bob) Niranjan in their company report released yesterday by the South Pacific Stock Exchange, stated, the 2019 business environment was very difficult with low growth and liquidity crisis in Fiji.
He said as a result, they took a conservative approach and consolidated operations, which has provided them with no debt, a low exposure and comfortable cash reserves to ride out the economic uncertainty.
Seize opportunities
He added they were prepared to seize opportunities in providing fleet management services to corporates who want to concentrate on their core activity.
“Despite these challenges the company managed to achieve $4.3 million turnover ($5.5m – 2018) which was fair under the falling Gross Domestic Product and liquidity crisis environment, even though it’s a decrease compared to previous year.
“However, our rigid controls and robust procedures have significantly managed the expenses of the business achieving 30 per cent operating profit (20 per cent2018) in the current financial year.
“It was further strengthened by the independent valuation of properties, resulting in a revaluation gain of $ 530,000 in 2019.” He further added, the overall Earnings Per Share has increased to $0.76 as opposed to $0.63, in 2018, resulting in a 20 per cent Year On Year growth, which is a clear reflection of the cost control strategies.
“Fleet Management division represents 70 per cent of the business, whereas property income represents 30 per cent of the business,” he said.
“Our management focus in the coming years is to attract more large-scale corporate customers to the pool, securing our business for the long term.
“Our total assets have increased to $19m, an increase of $1.8m in 2019, compared to previous year. “We were also pleased to distribute consistent dividends to our valued shareholders, twice during the financial year with a total of $0.14 cents per share.
“In addition, our market capitalisation stood at $14.96m, as of December 31, 2019 and our share price remained stable at $7.
“The continuous backing of our shareholders, management team and valued customers emboldens us for the future.
“And finally, I must thank all stakeholders profusely for a job well done amidst a challenging year and shall continue to defend all the challenges while we prepare to seize opportunities.”