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FSDH Group’s profit rises by 16%

By on April 29, 2011

The First Securities Discount House Group has recorded a profit after tax of N3.05bn for the year ended December 31, 2010.

This represents a 16 per cent increase over N2.63bn recorded by the company in the similar period of 2009.

Disclosing the result at a press briefing on Thursday, the Managing Director/Chief Executive Officer, FSDH Group, Mr. Rilwan Belo-Osagie, said that the Group, made up of four companies covering both the money and capital markets, recorded total asset of N48.3bn, while its shareholders’ funds rose by 17.3 per cent or N2.5bn from N14.4bn in December 2009, to N16.9bn.

He added that the company also posted a profit before tax of N3.43bn compared to N3.02bn the previous year, adding that the directors had proposed a dividend payout of N698.7m. This, he noted, translated into 25 kobo per share for shareholders, representing an increase of 25 per cent when compared in absolute terms with the dividend payment of N558.96m the preceding year.

The subsidiaries of the Group are First Securities Discount House Limited, FSDH Asset Management Limited, FSDH Securities Limited and Pensions Alliance Limited.

Belo-Osagie expressed confidence in the readiness of the group to overcome present and future challenges arising in the course of running the affairs of business, due to its ability to quickly adjust to changes in the economic environment.

“The 2010 financial year was quite challenging for business in the discount house sub-sector. We are, however, confident that we are poised to overcome present and future challenges due to our ability to quickly adjust to the changes in the economic environment,” he said.

The Managing Director, FSDH Securities, Mr. Ese Onosode, said the company had done a lot of research and analysis of certain situations in the market and used it to turn around the fortunes of its shareholders.

He said, “What we have managed to do over the years is that we have stuck religiously to our business strategies and philosophy which even during boom times could be considered a bit conservative and we have also taken advantage of certain situations in the market, which call for flexibility in terms of what we are concentrating on at the time.

“Our traditional income earners such as the proprietary trading and share back revenue have gone down drastically for obvious reasons. So, we have had to adopt other means of making our revenue. We have been able to maintain strict management philosophies and prudence in our business decision making.”

Source : Punch