Net income rise for FOCOL in 4Q
FOCOL’s prediction of a strong fourth quarter came to fruition as the company reported a 28.3 percent increase in net income to$16.6 million, compared to$12.5 million the previous year.The near$4 million boost in income came during the oil company’s final fiscal report for the period ended July 31, 2010. Chairman and President of FOCOL Albert Miller said the performance was impressive despite the challenging economic climate.
“On the behalf of the board of directors, I am pleased to report that despite the current economic environment fiscal 2010 was another year of record results for FOCOL Holdings Limited,”Miller said.”Our investment strategies coupled with several operational initiatives has positioned the company well to create long term sustainable growth.”
Gross profit for the fourth quarter rose 13.3 percent to$50.5 million, compared to$44.5 million during the same period in 2009. Assets also grew 8 percent to$136.8 million, a rise from$126.6 million from a year ago.
FOCOL recently completed a$10 million preference share offering in October, which was viewed as a possible indicator of investor confidence levels. the money was used to clear long term debt for the company.
The offering closed two weeks ago, with the$10 million offering holding an interest coupon of 7.25 percent. When the issue was offered, executives had expected it to prove attractive to institutional investors as well as some high net-worth individuals because of the bank deposits downward pressure and lower returns.The oversubscription followed comments by a leading financial analyst that evidence of strong selling pressure on the Bahamas International Securities Exchange may be an indication that investor confidence is not yet at the pre-recession levels, with the trend suggesting a desire for liquidity.It reported a net income of$10.8 million during the nine month period ended April 30, 2010, a 20 percent increase from the same period last year.
Miller said that FOCOL has a clear vision for 2011, which will be to improve the company as best as possible.
“We will continue to ensure that we achieve maximum efficiency in our operations,”Miller said. Management expects to focus on our retail operations in the upcoming year in order to achieve the maximum benefit from that sector for our shareholders.
“We will continue to evaluate strategic acquisitions and partnerships that will be beneficial to our business.”