Mar 2010 Financial News

ANSA profits move up 400 per cent

Mar 25, 2010

ANSA Merchant Bank yesterday declared more than 400 per cent increase in pre-tax profit as the company rebounded from a difficult year for the financial services sector in 2009. In an effort to adjust to the economic crisis, meet new international accounting standards, reduced demand for loans and higher dilenquency rates, the bank restated much of its non-performing assets, in 2008 as it revved up its capital market and merchant banking business over the course of 2009.

The bank reported $227.5 million in profit before tax, this as the bank released its 2009 year end results at a news conference at the ANSA McAL Board room, Tatil building, Maraval Road, Port of Spain. Managing Director, Chip Sa Gomes, said the bank plans to pay the same dividend it paid in 2007. “Final dividend of $0.70 would be paid, on top the $0.15 which we have already delivered, to bring total dividends for the year up to $0.85,” Sa Gomes said. Commenting on the bank’s loan portfolio, Sa Gomes said there was increased activity in loans as well as in collections, as both contributed to the bank’s good performance.

“The retail market (for loans) where we do our asset financing/vehicle financing, that was slightly down in 2009 compared to 2008. The balance we closed 2008 was $620 million and we closed 2009 at $600 million. Referring to deliquency in loan payment, Chairman Dr Anthony N Sabga, said it was mainly found in the loans granted to customers who belonged to the construction sector. “We had to consider what our customers problem is. We have seen some lease payments in the last week. Our accounts are good, they are healthy we are very happy with it,” Sabga said.

Pleased with the results of the financial year, the bank plans to introduce two new products for this fiscal period. Sa Gomes said the new products will be an extension of the ANSA Euro fund. “We plan to build out that suite to have an ANSA TT Income fund and an ANSA US Income fund.


Source:
Nadaleen Singh
Trinidad Guardian
Thursday March 25, 2010

http://guardian.co.tt/business/business/2010/03/25/ansa-profits-move-400-cent