November 14, 2024
ISP Finance Services Limited (ISP) for the nine months ended September 30, 2024, reported a 9% increase in Total Interest Income totaling $400.05 million compared to $367.95 million in the corresponding period last year. Total Interest Income for the third quarter had a 14% decrease to close at $118.45 million compared to $137.60 million for the comparable quarter of 2023.
Interest Expense amounted to $46.59 million (2023: $46.04 million), this represents an increase of 1% year over year. Consequently, net interest income increased by 10% to $353.46 million compared to $321.91 million for the nine months ended September 30, 2023. The company booked net interest income of $102.59 million for the third quarter versus $122.24 million reported for the similar quarter of 2023.
Commission Expense on loans decreased by 26% from $17.90 million in 2023 to $13.31 million in the period under review. As such, Gross Profit increased by 12% to close at $340.15 million (2023: $304.01 million).
Allowance for Credit Loss for the nine months ended September 30, 2024, amounted to $120.12 million, a 43% increase relative to $83.73 million reported in 2023, while Other operating expenses totalled $78.61 million a 19% decrease from the corresponding period last year. (2023: $97.02 million). As a result, Total operating expenses for the nine months ended September 30, 2024, amounted to $274.19 million, a 3% increase relative to $266.75 million reported in 2023.
Profit Before Taxation for the nine months ended September 30, 2024, amounted to $66.25 million, a 68% increase relative to $39.47 million reported in 2023. Profit Before Taxation for the third quarter amounted to $14.64 million (2023: $27.05 million).
Taxation for the nine months ended September 30, 2024, had an 82% increase to reach $11.04 million (2023: $6.06 million). As such, Net Profit for the nine months amounted to $55.21 million, a 65% increase from the $33.41 million reported in 2023. For the third quarter, Net Profit was $12.20 million (2023: $22.54 million).
Consequently, Earnings Per Share for the nine months amounted to $0.53 (2023: EPS: $0.32), while Earnings Per Share for the quarter totaled $0.12 (2023: EPS: $0.21). The twelve-month trailing EPS was $0.84, and the number of shares used in these calculations was 105,000,000.
Notably, ISP’s stock price closed the trading period on November 14, 2024, at a price of $20.00 with a corresponding P/E ratio of 23.75x.
Balance Sheet Highlights
The company’s assets totalled $1.20 billion (2023: $1.11 billion). The growth in total assets was mainly driven by a $77.71 million or 169% uptick in ‘Cash & Cash equivalents’ to close at $123.73 million (2023: $46.02 million).
Shareholder’s equity was $640.05 million (2023: $554.18 million), representing a book value per share of $6.10 (2023: $5.28).
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