February 6, 2024

QWI Investments Limited (QWI) for the first quarter ended December 31, 2023, reported a 15% increase in Dividend and Interest Income totalling $14.85 million compared to $12.94 million in the corresponding three months last year.

Unrealized currency loss amounted to $1.23 million (2022: $4.49 million), representing a decrease of 73% year over year.

Gains from investment activities amounted to $37.66 million compared to loss from investment activities of $76.71 million for the first quarter ended December 31, 2022.

Consequently, QWI reported total income of  $51.27 million, relative to total loss of $68.26 million reported in the same quarter last year.

Administrative expenses increased by 40% from $13.70 million in 2022 to $19.21 million for the three months.

Interest expense for the first quarter amounted to $9.25 million, a 3% increase relative to $8.94 million reported in 2022.

Profit before Taxation for the first quarter ended December 31, 2023, amounted to $22.81 million, relative to loss before taxation of $90.91 million reported in 2022.

Tax charge for the three months amounted to $4.82 million (2022: Tax credit of $25.98 million).

Net Profit for the three months ended December 31, 2023, amounted to $17.99 million, up from the net loss of $64.92 million reported in 2022.

Consequently, Earnings Per Share for the three months amounted to $0.01 (2022: LPS: $0.04). The twelve-month trailing EPS was $0.03 and the number of shares used in these calculations was 1,365,000,015.

Notably, QWI’s stock price closed the trading period on February 05, 2024, at a price of $0.60 with a corresponding P/E ratio of 21.11x.

Balance Sheet Highlights

The company’s assets totalled $2.05 billion (2022: $2.03 billion). The movement in total assets was influenced by a $219.52 million uptick in ‘Overseas Investments’ to $601.75 million, while ‘Local Investments’ and ‘Due from brokers and receivables’ declined by $89.80 million to $1.43 billion and by $86.80 million to $16.98 million, respectively.

Shareholder’s equity was $1.70 billion (2022: $1.67 billion), representing a book value per share of $1.25 (2022: $1.22).

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