BY TATIRA ZWINOIRA
BAT profit rises 1 327%
BRITISH American Tobacco Zimbabwe (BAT) reported a 1 327,46% growth in profit after tax to $1,4 billion (US$9,83 million) during the year ended December 31, 2021 due to the firm exporting cut-rag tobacco and leaf prices. The increase was from a 2020 comparative of $98,15 million (US$689 214,99). Cut-rag tobacco and leaf exports drove a 42% increase in revenue to $4,72 billion (US$33,15 million) during the period under review, from a 2020 comparative of $3,33 billion (US$23,41 million). Administrative expenses declined to $534,32 million (US$3,75 million) from a 2020 comparative of $539,13 million (US$3,78 million). However, selling and marketing costs rose to $614,94 million (US$4,31 million) last year, a 38,8% increase over the 2020 comparative of $443,03 million (US$3,11 million).
Masimba rebounds
CONSTRUCTION firm, Masimba Holdings Limited posted an 87,2% increase in profit after tax to $985,12 million (US$6,91 million) owing to a 71,5% reduction in net monetary losses. The profit after tax was from a 2020 comparative of $526,23 million (US$3,69 million). Net monetary losses for the period under review narrowed to $289,94 million (US$2,03 million), from a 2020 comparative of $1,01 billion (US$7,14 million). The reduction in net monetary losses helped Masimba overcome a decline in revenue of 12,34% to $7,35 billion (US$51,64 million) during the period under review, from a 2020 comparative of $8,39 billion (US$58,91 million). The decline was attributed to a slow start of some key projects in the 2021’s fourth quarter. The proportion of revenue earned in United States Dollars rose by 15 percentage points to 35% last year compared to 2020’s 20%. Total assets rose by nearly 53% to $11,4 billion (US$80,06 million) in the period under review owing to increases in capital expenditure of nearly 123% to $765,51 million (US$5,37 million) in property, plant and equipment.
CABS surplus rises 130%
MORTGAGE lender, CABS reported a 130% rise in inflation adjusted surplus during the year to December 2021, according to the firm’s financial statements. CABS’ surplus grew to $5,88 billion (US$41,28 million) during, following a rise in non-interest income, from $2,56 billion (US$17,97 million) in 2020. Net interest income increased from $2,2 billion (US$15,44 million) in 2020 to $5,7 billion (US$40,02 million) after loans and advances grew to $5,9 billion (US$41,42 million), from $2,7 billion (US$18,95 million) during the comparable period in 2020. Term loans and overdrafts, at $5,5 billion (US$38,61 million), in 2021 compared to $2,5 billion (US$15,44 million) in 2020, accounted for the bulk of loans and advances while mortgage loans doubled to $428,8 million (US$3,01 million).
POSB overturns loss
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POSB overturned the previous year’s loss to post a profit after tax by of $721,98 million (US$5,06 million) during the year ended December 31, 2021. POSB had posted a loss of nearly $700 million (US$4,9 million) during the comparable period in 2020. Net operating income rose to $3,1 billion (US$22,34 million) during the period under review, from a 2020 comparative of $2,07 billion (US$14,57 million). This was backed by a healthy net interest income. Fees and commission income rose nearly 31% to $2,07 billion (US$14,57 million) last year. Inflationary pressure caused operating expenses to rise 73% to $2,2 billion (US$15,44 million) in 2021, from a 2020 comparative of $1,27 billion (US$8,92 million). Total assets increased by 65% to $8,46 billion (US$59,37 million) during the review period, owing to an increase of $2,35 billion (US$16,5 million) in financial assets measured at an amortised cost. These financial assets were mainly driven by a 68,78% increases in loans and advances to $2,28 billion (US$16,01 million) and 267% rise in financial securities to $1,96 billion (US$13,79 million). Total assets were $5,12 billion (US$36 million) in 2020. Customer deposits rose to $4,64 billion (US$32,63 million) last year, an increase of nearly 66% from a 2020 comparative of $2,8 billion (US$19,66 million). POSB had a liquidity ratio of 64% at the end of last year, confirming the bank was liquid.
Healthy book lifts FBC profits
FBC Holdings Limited posted a 78% increase in profit after tax to $4,34 billion (US$30,47 million) during the year ended December 31, 2021, on the back of a 37% growth in total income. This was up from $2,43 billion (US$17,11 million) in the 2020 comparative. Total income of $17,9 billion (US$125,73 million) was achieved, against $13,1 billion (US$91,95 million) reported in 2020. The group’s performance was underpinned by increases in subsidiary earnings. Net interest income increased by 86% to $5 billion (US$35,77 million) on the back of increased lending and an improved interest margin. Loans and advances stood at $23,5 billion (US$165,23 million), 10% higher than $21,4 billion (US$150,59 million) in 2020, owing to interventions to customers in the productive sectors of the economy.
Net fee and commission income was up 71% to $3,4 billion (US$23,57 million), aided by the group’s digitalised infrastructure that supported increased volume of transactions by customers. Total expenses were recorded at $510,4 billion (US$73,02 million) in the period under review, an increase of 25% on the 2020 comparative. Group assets as at December 31, 2021 were recorded at $63,3 billion (US$444,44 million), representing a growth of 22% from $52,1 billion (US$365,69 million) achieved in 2020. This growth was largely driven by an increase in total deposits of 12% to $37 billion (US$259,83 million) in the period under review, translation of foreign currency denominated assets into ZWL at closing rate, property investments and increased retained earnings. Group subsidiaries as at 31 December 2021 were in full compliance with the minimum capital requirements and had a cumulative liquidity gap on the balance sheet of $11,26 billion (US$79,06 million).
