Tough Economic Headwinds Resisted As BIHL Presents Stellar Results, Even In Affected Asset Management Space

BIHL Group CEO Catherine Lesetedi

GABORONE – At the presentation of the BIHL Group’s financial performance for the year ended 31 December 2022, Botswana’s oldest and industry-leading asset management service provider, Bifm’s, operating profit saw a 31% year-on-year increase in earnings, contributing to the Group’s stellar performance.

Said the BIHL Group CEO, Catherine Lesetedi, “We are very happy with the persistent growth and performance of the BIHL Group for this financial period. Bifm has yielded positive results which have contributed to the Group’s collective success. The 2021/2022 financial period presented many challenges as many of the post-pandemic effects continued to disrupt the economic operational environment. The growth today is the result of hard work and strategy seen through the adoption of various digitisation efforts to improve the performance of each of our subsidiaries.”

The results for the period under review show Bifm’s total Group Assets Under Management (AUM) increased by 7% to close the year at P38.5 billion (2021: P36.1 billion). This is inclusive of Zambia’s P5.7 billion and Bifm Unit Trust at P1.8 billion. “The year 2022 was challenging. However, we have remained optimistic that our investment philosophy and process will continue to navigate us through as we aim to consistently deliver value for our clients,” said Bifm CEO Neo Bogatsu.

“Bifm continues to show prevailing growing fiscal performance in unpredictable global and local operational markets,” Lesetedi noted. “The growth in profits was driven by Bifm’s Zambian operations, which continued to benefit from the Pula/Kwacha currency movement, coupled with an overall improvement in the operating environment, as well as a once-off accounting adjustment.  Bifm’s performance also positively contributed to the overall Group results, recording an operating income increase of 9%, on the back of growth in overall Assets Under Management (AUM).”

The BIHL Group remains well-positioned in terms of capital management and solvency. The Board has confidence in the Group’s ability to maintain dividends at this level while ensuring that its capital position remains solid and aligned with future capital requirements while sustaining healthy levels of Return on Group Equity Value. The Board resolved to pay a final dividend of 101 thebe per share (net of tax) and a special dividend of 89 thebe per share (net of tax).

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