GEISHA KOWLESSAR-ALONZO
geisha.kowlessar@guardian.co.tt
ANSA Merchant Bank produced a significant consolidated profit before tax of $201 million for the year ended December 31, 2023, compared to a restated loss before tax of $16 million for the prior year. The need for restatement was driven by the adoption of the IFRS 17 (insurance contracts) accounting standard for the first time in 2023, said chairman A Norman Sabga in his statement.
The company presented financial statements at its annual meeting, which was held at the Hyatt Regency on Thursday.
Sabga noted that total assets grew by nine per cent to $10.3 billion in 2023, versus a restated $9.4 billion in 2022.
This, he said, was partly driven by strong growth in loans and advances and resulted in its banking business, comprising ANSA Merchant Bank Ltd, ANSA Merchant Bank (Barbados) Ltd, and its commercial bank, ANSA Bank Ltd, producing a profit before tax of $138 million for the year.
Saying that the group remained well positioned for the future, Sabga said, “Our significant investments in new IT systems across the banking and insurance sectors continue to support the execution of our vision and will bear significant returns for all stakeholders in 2024 and beyond.”
Managing director of ANSA Merchant Bank Ltd, Ian De Souza, said the improvement in performance in 2023 was attributed to the robust performance of all of its core businesses and the mark-to-market gains recorded on investments.
De Souza said the parent company of the group, ANSA Merchant Bank Ltd closed 2023 with total revenue of $297.7 million, which was up 43 per cent over the prior year.
Profit before tax amounted to $155.9 million, an increase of 50 per cent over the previous year’s $104.2 million.
Further, De Souza said the investment banking division remained steadfast in its commitment to being a lead arranger in the local and regional capital markets.
It contributed $82.8 million to overall revenue, which was a 25 per cent increase from the prior year.
“For 2024, we anticipate becoming even more aggressive in the market, as we strategically focus on providing innovative merchant banking solutions for customers at home, in Barbados and across the wider Caribbean,” De Souza added.
Further, he said the business banking division, which was founded in 2022 to serve the needs of corporate and commercial customers, displayed commendable performance in 2023 by generating strong business volumes and revenue of $64.4 million.
“This segment has experienced remarkable growth due to its aggressive origination efforts and its focus on serving the customers to their satisfaction. As the division grows and develops, there will be productive synergies with the investment services,” De Souza said.
Managing director, Tatil and Tatil Life, Musa Ibrahim, told the meeting the integration planning of Colfire into Tatil is progressing well, adding that the company looks forward to the new opportunities this will bring to clients and businesses.