Ac­cess Fi­nan­cial grows loan port­fo­lio

Jamaica Gleaner - - BUSINESS - Steven.jack­son@glean­

AC­CESS FI­NAN­CIAL Ser­vices Lim­ited grew its loans port­fo­lio and main­tained costs, which led the mi­cro­fi­nancier to vir­tu­ally dou­ble its net profit to $207 mil­lion for the Septem­ber sec­ond quar­ter. Profit in the same pe­riod last year to­talled $107 mil­lion.

The com­pany’s re­turn on av­er­age eq­uity (ROE), al­ready one of the high­est on the Ja­maica Stock Ex­change, jumped to 66 per cent from 48 per cent recorded the pre­vi­ous year. Com­par­a­tively, banks that hold the largest loan books gar­nered ROE un­der 20 per cent due in part to reg­u­la­tions and tax­a­tion.

Over six months, Ac­cess Fi­nan­cial earned net profit of $352.7 mil­lion com­pared with $220.6 mil­lion a year ear­lier.

“Our re­sults con­tinue to be driven by our con­tin­ued fo­cus on im­prov­ing our prod­uct of­fer­ings to the busi­ness sec­tor with spe­cific em­pha­sis on the small and medium-size en­ti­ties (SMEs), and over­all, im­prov­ing fi­nan­cial in­clu­sion in the mi­cro sec­tor,” said chief ex­ec­u­tive of­fi­cer Mar­cus James in a state­ment pref­ac­ing the fi­nan­cials.

The net loan port­fo­lio con­tin­ued to show ro­bust growth, with an in­crease of $469 mil­lion, or 24 per cent, to $2.42 bil­lion. This re­sulted in a pos­i­tive move­ment of to­tal as­sets to $2.77 bil­lion, an in­crease of 17 per cent. The mi­cro­fi­nanc­ing out­fit’s li­a­bil­i­ties de­creased by $38 mil­lion, or three per cent, due to up­ward move­ment on loans.

Ac­cess Fi­nan­cial wrapped up Septem­ber with a net value of $1.48 bil­lion, up from $1.04 bil­lion a year ear­lier.

Mar­cus James, CEO of Ac­cess Fi­nan­cial Ser­vices Lim­ited.

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