GetBucks profit slips to $1,7m

FINANCIAL services firm, GetBucks has recorded a net profit of $1,7 million for the six months ended December 2016, down from $1,99 million in the comparable period in 2015.

While net interest income was up 20 percent to $4 million, a surge in operating expenses hit on profits.

The group declared a $350 000 dividend, seen as an effort by the firm to conserve cash in the tough operating environment.

Earnings per share slipped to 0.16 cents from 0,18 cents due to the decline in profits. GetBucks chairman Glovah Madzima said the group had managed to remain profitable despite challenges in the macro environment that made it difficult for financial institutions.

“The company strives to ensure that shareholders obtain a maximum return on their investment, and in keeping with this vision, the board proposes an interim dividend of $350 000 being 0,032 cents per share,” Mr Madzima said.

In the period, the firm’s assets grew 10 percent to $22 million. Customer deposits shot up by 70 percent while loans to customers were up three percent to $14,2 million driven by advances to small to medium enterprises, the chairman said.

“The company continues to expand its product offering, and has recently introduced 10 year mortgages to the public.

“These and other efforts are designed to ensure that the business diversifies its focus and continues to grow revenues,” he said.

Formerly classified a microfinance institution, GetBucks upgraded its license to become a microfinance bank in 2015 and was last year listed on the Zimbabwe Stock Exchange. —