Prasac’s Q4 Net Profit up 18% at $47m

Bond issuer records an increase in net profit and net interest income amid lower NPL ratio
Prasac Microfinance Institution Plc in Phnom Penh, December, 12 2022. Kiripost/Siv Channa
Prasac Microfinance Institution Plc in Phnom Penh, December, 12 2022. Kiripost/Siv Channa

Bond issuer Prasac Microfinance Institution Plc’s net profit for the fourth quarter ended December 31, 2022 (Q422) climbed 17.5 percent to $47.2 million from $40.1 million a year ago, according to its filing with Cambodia Securities Exchange.

Quarterly net interest income expanded 16.5 percent year-on-year (YOY) at $89.1 million from $76.5 million, with revenue totalling 655 billion riel (approximately $160 million), up 17.8 percent from 556 billion riel last year.

Prasac issued three-year bonds with a 7.5 percent coupon rate, which will mature on April 23, 2023. The bonds are guaranteed by the Credit Guarantee and Investment Facility.

The MFI’s return on average assets stood at 1.04 percent, while return on average equity was 6.2 percent. Non performing loan ratio dipped to 1.19 percent from 1.54 percent last year.

For the full financial year ended December 31, 2022 (FY22), Prasac posted an increase of 16.6 percent in net profit, at $181.3 million compared to $155.5 million in the corresponding period last year.

Net interest income grew 17.6 percent YOY to $347.6 million from $$295.4 million.

Prasac is among MFIs in Cambodia by way of total assets that were valued at $4.8 billion as of the end of December 2022.