Chams Holdings Plc, one of the firms with the highest capital gains for investors on the Nigerian Exchange Limited in 2023, has returned to the green zone as it recorded a N20.22m profit at the end of the year.
This was a recovery from the N375m loss it incurred in the previous year.
Chams Holding Company Plc, which started in 1985 as a company that gave identity verification solutions, closed 2023 with about 720 per cent in capital gains.
It started trading at N0.24 per unit and closed the market at N1.97 per unit.
During the year, Chams traded as low as N0.23 and as high as N2.44 per unit.
At the company’s Facts Behind The Figures presentation at the Nigerian Exchange Limited in September, the Group Managing Director, Chams HoldCo, Mrs Mayowa Olaniyan, said that the company was eyeing three-digit year-on-year growth from expanded business activities and emerging opportunities within the group for the year.
A pointer that the company may achieve its goal was seen in the third quarter report where its revenue grew by about 136 per cent to N7.51bn from N3.17bn at the end of September 2022.
It also posted a N255m profit after tax, compared to a loss of N135m in 2022.
In its full-year results filed with the NGX, Chams saw its gross earnings rise by about 80 per cent to N10.466bn from N5.79bn in the previous year.
In terms of cash in bank and short-term deposits, the firm has about N866.66m in more than 10 banks, with Zenith Bank having the highest cash deposit in Zenith Bank (N658.39m), followed by Providus Bank (N64.98m).
Relating to exposure to the foreign exchange market, the group said, “It is currently not exposed to foreign exchange risk as it does not have any liability to be settled in foreign currency.”
The group recorded a reduction in its debt-to-adjusted capital ratio primarily from the decrease in net debt arising from the settlement of outstanding loans and borrowings during the year.
