VFD Microfinance Financial institution Ltd. held its third Annual Basic Assembly for the 2023 monetary 12 months on Thursday, the tenth of April, at Herel Play, Ikoyi Lagos. The AGM was themed “Banking with Objective, Delivering with Impression.”
The assembly’s agenda included presenting the audited monetary statements for 2022 and 2023, re-electing and appointing administrators, re-appointing auditors, and figuring out the remuneration for auditors and administrators.
Audited by Pricewaterhouse Coopers (PwC), VFD Microfinance Financial institution reported a ₦333.3 million loss in 2023, citing financial volatility, removing of gas subsidies, naira depreciation and continued international change shortage. “This final result, whereas disappointing, displays each the exterior macroeconomic constraints and inside changes we undertook to reposition the financial institution for a stronger future,” Dr. Collins Chikeluba, Chairman of VFD Microfinance Financial institution, stated.
Regardless of going through challenges in 2023, VFD Microfinance Financial institution affirmed that it had applied strategic modifications which yielded constructive leads to 2024. The financial institution’s management responded to the earlier 12 months’s losses by restructuring operations, optimizing value effectivity, and enhancing buyer engagement methods. These changes have already proven promising outcomes within the 2024 financials, demonstrating the financial institution’s dedication to delivering sustainable worth to stakeholders and deepening monetary inclusion.
“2023 was essentially the most testing interval for the Nigerian economic system. Inflation reached multi-decade highs coupled with a sluggish GDP progress of two.8%. Regardless of this, we’re targeted on our long-term imaginative and prescient, and this setback has served as a vital inflection level,” Rotimi Awofisibe, Managing Director of VFD Microfinance Financial institution, stated.
The microfinance financial institution delivered a robust efficiency in 2024, with income surging 39.8% to ₦4.5 billion, up from ₦3.2 billion in 2023. “By means of diligent efforts, we have now optimized operations and enhanced effectivity, driving substantial income progress and profitability in 2024. Shifting ahead, we are going to proceed leveraging know-how and innovation to enhance service supply and develop our affect,” Theodore Asamoah, Chief Working Officer, VFD Microfinance Financial institution famous.
The financial institution additionally registered a outstanding turnaround in profitability, transitioning from a loss in 2023 to a Revenue After Tax (PAT) of ₦366.6 million in 2024, indicating a big restoration. “Our 2024 monetary efficiency factors in direction of a robust turnaround, reflecting our adaptability and modern method to banking. This can be a testomony to the effectiveness of our enterprise mannequin and dedication from our staff,” Awofisibe stated.
Reaffirming its dedication to strategic objectives, VFD Microfinance Financial institution goals to boost monetary inclusion, harness know-how, and ship sustainable worth to stakeholders. The financial institution additionally emphasises its dedication to institutionalizing Company Governance rules and adherence to the company governance guidelines of the Central Financial institution of Nigeria.
The assembly authorised a number of management modifications. Mr. Adeniyi Adenubi, Non-Government Director, and Mr. Chioma Nkechika, Unbiased Non-Government Director, have been re-elected. Moreover, Mrs. Helen Onasanya, Mr. Nonso Okpala, CEO of VFD Group Plc, and Mr. John Okonkwo, Government Director, Finance, Threat and Compliance at VFD Group, have been appointed as administrators. Dr. Collins Chikeluba was reappointed as Chairman. Moreover, the remuneration for Non-Government Administrators was set at ₦29,500,000 for the 12 months ending December 31, 2024, with funds efficient retroactively from January 1, 2024.
No dividend was declared for the 12 months reviewed. The financial institution maintains a constructive outlook on its future profitability and stays dedicated to delivering sustained worth to its stakeholders.
“As we glance forward, we stay targeted on executing our strategic aims of deepening monetary inclusion, leveraging know-how to scale and delivering long-term worth to our stakeholders,” Chikeluba stated.
