LOLC reports income rise of 39 per cent, net profit up 87 per cent in nine months
LOLC reports income rise of 39 per cent, net profit up 87 per cent in nine months
Corporate bond listed LOLC, one of the largest microfinance institutions in Cambodia, reported strong business performance in the first nine months of this year, resulting in an interest income rise of 39 per cent, while net profit grew 87 per cent.LOLC is the second corporate bond listed on Cambodia Securities Exchange (CSX), officially listing in May to raise $20 million for business expansion.
Its filing on the CSX last Friday said for the first three quarters ended September this year, the total interest income of LOLC attained more than $79 million.
This was an increase of 39 per cent, with a net profit of $22.78 million, an increase of 87 per cent on the same period last year.
According to CEO Sok Voeun, LOLC maintained quality growth as of the end of the third quarter of this year, increasing its loan portfolio to $691 million – a growth of 42 per cent compared to the end of last year.
Portfolio at risk was only 0.92 per cent which was lower than the industry average.
Voeun said the number of borrowers increased by 19 per cent to 279,704. Deposit balance reached more than $396 million, which is an increase of 70 per cent over 2018 figures.
Meanwhile, the number of depositors increased to 302,415 – up 68 per cent.
“The fast growth of portfolio and deposit balance indicates that LOLC is a trustworthy microfinance institution offering excellent customer service, guaranteeing client protection and providing competitive and innovative deposit and loan products,” he said.
LOLC said in the fourth quarter of this year, it will roll out its iPay mobile banking application which would allow customers to view their banking accounts, conduct transactions (balance enquiry, mini-statement, transfer, payments, mobile top-up, etc.) from their mobile phones.
Voeun said it also plans to issue a card that allows clients access to other ATM shared switch members (Cambodia Share Switch - CSS).
The microfinance institution will also deploy tablet banking which enables tasks to be carried out from tablet devices. This, it says, will improve productivity, efficiency and effectiveness.
“In short, we will try to make the most out of opportunities that our current successes open for us. And, we are confident that LOLC is well-positioned to bring further value to its customers, investors and shareholders,” Voeun said.
