Dec 2016 Financial News

Scotia Investments to pay out 45 cents per stock unit for new year

Dec 14, 2016

With earnings per share of $3.19 per unit for the financial year ended, Scotia Investments Jamaica Ltd (SIJL) is set to pay out to stockholders $1.80 per share in dividends (including 45 cents payable in January), sharing the rewards of a year in which the company has recovered from a volatile 2015.

SIJL reported net income of $1.35 billion for the year ended, an increase of $325.44 million or 31.77 per cent, when compared with $1.02 billion for the prior year which ended October 31, 2015.

Return on average equity for the 12 months ended October 2016 was 9.28 per cent. Last year, earnings per share were $1.27.

Net income of $536.76 million for the quarter ended October was $180.68 million or a S50.74 per cent increase over the previous quarter ended July 31, 2016.

Lissant Mitchell, CEO of Scotia Investments, said in the published financials that performance was achieved by significant growth of 36 per cent in non-interest revenues when compared to the year before.

He said the company experienced growth in key business lines, with net gains on financial assets increasing by 86 per cent compared to the previous year, while fee and commission income increased by $148 million (13 per cent) year over year.

Total comprehensive Iicome attributable to common shareholders was $1.55 billion, 37.85 per cent higher compared to $1.13 billion reported for the prior year.

The board of directors approved a fourth-interim dividend of 45 cents per stock unit, payable on January 18, 2017. The year-to-date dividends paid out amount to $1.80 per share.

Mitchell noted that the company continues to execute its strategy of growing the asset management business.

The segment, he noted, achieved robust growth of $124 million in revenues for the year when compared to the prior year, while the net asset value of assets under management increased by $14.6 billion (13 per cent) over the prior year.

Results were a bounceback from conditions in 2015 when net profit for the company fell to $1.02 billion — a decrease of $824 million over the prior year’s restated profit of $1,848 million.

The company, during the period, was affected by diversification away from the repo structure and the increase in the asset tax rate from 0.14 per cent to 0.25 for regulated financial institutions in May 2014, with the full effect of this increase being felt in 2015.

Source:
BY AVIA COLLINDER
collindera@jamaicaobserver.com
Business reporter 
Jamaica Observer
Wednesday December 14, 2016

http://www.jamaicaobserver.com/business/Scotia-Investments-to-pay-out-45-cents-per-stock-unit-for-new-year_83428