C & I Leasing : AND I LEASING PL.- QUARTER 4 - FINANIAL STATEMENT FOR 2022

C & I LEASING PLC

UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

C & I LEASING PLC

FOR THE YEAR ENDED 31 DECEMBER 2022

Contents

Consolidated statement of financial position	3
Consolidated statement of comprehensive income	4
Consolidated statement of cash flows	5
Consolidated statement of changes in equity	6-7
Notes to the consolidated financial statements	8-57

C&I LEASING PLC

UNAUDITED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 31 DECEMBER 2022

		Group		Company
		31 December		31 December		31 December		31 December
		2022	2021	2022	2021
	Notes	N'000		N'000		N'000		N'000
Assets
Cash and balances with banks	10.	1,150,255	1,133,584	1,047,561	877,097
Loans and receivables	11.	769,176	859,026	763,743	840,241
Trade and other receivables	12.	17,114,806	18,010,614	16,967,131	17,027,412
Due from related companies		-	-	4,421,662	4,195,953
Finance lease receivables	13.	2,146,988	1,847,130	1,988,845	1,728,266
Available for sale assets	14.	11,518	9,686	11,518	9,686
Investment in subsidiaries	15.	-	-	759,481	759,467
Investment in joint ventures		3,308,053	3,695,333	3,308,053	3,695,333
Other assets	16.	480,278	283,618	430,591	218,684
Operating lease assets	17.	32,123,479	30,106,654	16,511,609	15,201,254
Property, plant and equipment	18.	400,316	1,291,111	309,333	1,164,502
Intangible assets	19.	25,441	42,581	25,414	42,437
Deferred income tax assets	23.3	878,592		854,607		854,607		854,607
Total assets		58,408,902	58,133,943	47,399,549	46,614,938
Liabilities
Balances due to banks	20.	1,625,622	1,032,615	1,618,276	1,032,604
Commercial notes	21.	13,554,429	11,614,608	13,554,429	11,602,280
Trade and other payables	22.	5,083,946	5,659,299	4,418,140	4,573,669
Current income tax liability	23.2	642,081	609,239	598,872	496,977
Borrowings	24.	20,234,751	23,431,386	19,342,621	21,475,472
Retirement benefit obligations	26.	22,412	23,832	22,412	23,832
Deposit for shares	28.	-	1,975,000			1,975,000
Deferred income tax liability		-		13,506		-		-
Total liabilities		41,163,241	44,359,487	39,554,749	41,179,835
Equity
Share capital	27.	390,823	390,823	390,823	390,823
Deposit for shares	28.	1,975,000	-	1,975,000	-
Share premium		3,361,609	3,361,609	3,361,609	3,361,609
Statutory reserve	29.	1,776,810	1,262,038	989,703	873,770
Statutory credit reserve	30.	351,372	643,413	380,152	638,779
Retained earnings	31.	4,355,006	2,879,061	738,473	(553,075)
Foreign currency translation reserve	32.	4,205,167	3,848,909	-	-
AFS fair value reserve	33.	9,039	6,706	9,039	6,706
Revaluation reserve	34.	-		716,490		-		716,490
		16,424,827	13,109,050	7,844,800	5,435,103
Non-controlling interest	35.	820,834		665,406		-		-
Total equity		17,245,661		13,774,456		7,844,800		5,435,103
Total liabilities and equity		58,408,902	58,133,943	47,399,549	46,614,938

These consolidated financial statements were approved by the Board of Directors on 30th January, 2023 and signed on its behalf by :

Emeka Ndu		Ugoji Lenin Ugoji	Okechukwu Nnake
Group Vice Chairman		Managing Director	Chief Financial Officer
FRC/2013/ICAN/00000003955		FRC/2015/NIM/00000012363	FRC/2013/ICAN/00000005362

The accompanying notes are an integral part of these consolidated financial statements.

3

C & I LEASING PLC

UNAUDITED CONSOLIDATED INCOME STATEMENT

FOR THE YEAR ENDED 31 DECEMBER 2022

		Group		Company
		12 Months to		12 Months to		12 Months to		12 Months to
		Dec 2022		Dec 2021		Dec 2022		Dec 2021
	Notes	N'000		N'000		N'000		N'000
Gross earnings		19,987,424	19,882,846	16,491,877	14,339,912
Lease rental income	38.	15,467,319	16,221,939	10,989,204	10,854,380
Lease expenses	44.	(8,555,522)		(7,967,319)		(7,645,126)		(6,922,180)
Net lease rental income		6,911,797		8,254,621		3,344,077		3,932,200
Net outsourcing income	40.	1,501,201		1,272,719		1,501,201		1,272,719
Tracking income	41.	134,270	153,639	134,270	153,639
Tracking expenses	41.	(62,811)		(83,202)		(62,811)		(83,202)
Net tracking income		71,460		70,438		71,460		70,438
Interest income	42.	29,182	35,977	22,876	3,255
Other operating income	43.	2,097,537	1,606,950	3,086,412	1,464,298
Income from Joint Venture		757,915	591,620	757,915	591,620
Finance cost	39.	(4,748,635)		(4,616,663)		(4,389,712)		(3,746,885)
		6,620,457	7,215,663	4,394,228	3,587,645
Impairment charge	37.	287	(65,816)	4,005	(2,277)
Depreciation expense	45.	(3,100,161)	(4,290,909)	(1,557,192)	(2,127,724)
Personnel expenses	46.	(1,481,954)	(1,288,624)	(1,309,911)	(1,146,051)
Other operating expenses	48.	(993,827)		(1,085,453)		(869,284)		(875,472)
Profit on continuing operations		1,044,802	484,861	661,846	(563,879)
before taxation
Income tax	23.1	(436,995)		(588,073)		(275,403)		(394,820)
Profit after tax		607,807	(103,212)	386,443	(958,699)
Profit attributable to:
Owners of the parent		526,281	(141,232)	386,443	(958,699)
Non-controlling interests		81,525		38,020
		607,807	(103,212)	386,443	(958,699)
Appropriation of profit attributable
to owners of the parent:
Transfer to statutory reserve		157,884	-	115,933	-
Transfer to statutory credit reserve
Transfer to retained earnings		368,397		(141,232)		270,510		(958,699)
		526,281		(141,232)		386,443		(958,699)
Basic earnings per share [kobo]	49.	67	(18)	49	(123)

The accompanying notes are an integral part of these consolidated financial statements.

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C & I LEASING PLC

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED DECEMBER 2022

		Group			Company
		31 December	31 December		31 December		31 December
		2022			2021	2022	2021
	Notes	N'000	N'000		N'000		N'000
Cash flows from operating activities
Profit after tax		607,807			(103,212)	386,443	(958,699)
Adjustment for:
Depreciation of property, plant and equipment	18.	90,306			43,684	35,391	44,717
Depreciation of operating lease assets	17.	3,009,855			4,247,225	1,521,800	2,083,007
Amortisation of intangible assets	19.	15,102			14,372	15,028	2,648
Profit on disposal of operating lease assets		(1,955,067)			(1,182,173)	(1,888,028)	(1,058,433)
Foreign currency translation difference		831,810			156,254	-
Finance cost	39.	4,748,635			4,616,663	4,389,712	3,746,885
Prior year adjustment		764,639			453,742	1,809,463	329,309
Exchange loss/Gain adjustment		(205,452)			(117,188)	762,411	(117,188)
Gain on revaluation of AFS assts		(1,833)			(141)	(1,833)	(141)
Tax expense	23.2	436,995			588,073		275,403		394,820
		8,342,797			8,717,298	7,305,791	4,466,925
Changes in operating assets and liabilities
Increase/(Decrease) in loans and receivables		89,850			(315,152)	76,497	(313,342)
Increase/(Decrease) in trade and other receivables		895,808			(2,265,251)	(165,428)	(2,161,904)
Decrease in finance lease receivables		(299,858)			466,043	(260,579)	493,023
Decrease in other assets		(196,660)			364,102	(211,907)	342,853
Increase/(decrease) in trade and other payables		(575,353)			956,529	(155,529)	1,084,474
Increase/(decrease) in commercial papers		1,939,820			(3,834,567)	1,952,148	(3,835,952)
Decrease/(Increase) in Pension contribution		(1,420)			(19,569)	(1,420)	(19,569)
Deferred tax paid		(37,491)			(75,479)	-	(1,407)
Tax paid	23.2	(94,082)			(140,456)		(23,964)		(140,456)
Net cash from operating activities		10,063,410			3,853,499	8,515,608	(85,354)
Cash flows from investing activities
Proceeds from sale of property, plant and equipment		-			-	-	-
Purchase of property, plant and equipment	18.	(13,500)			(4,644)	(13,500)	(4,644)
Proceeds from sale of operating lease assets		(3,226,019)			388,980	-	265,240
Purchase of operating lease assets	17.	-			(3,143,014)	(2,784,351)	(1,206,383)
Acquisition of intangible assets		-			(47,625)	-	(45,085)
Proceed from investment in subsidiaries					-	(14)	-
Proceed from investment in joint ventures		387,280			(742,960)	387,280	(742,960)
Proceeds from sale of investment securities		2,333			-		2,333		-
Net cash used in investing activities		(2,849,906)			(3,549,263)	(2,408,252)	(1,733,832)
Cash flows from financing activities
Repayment of borrowings		-			-	-	-
Increase/(decrease) in borrowings		(3,196,635)			4,051,921	(2,132,851)	5,713,538
Finance cost	39.	(4,748,635)			(4,616,663)	(4,389,712)	(3,746,885)
Share of (profit)/loss to non-controlling interest	35.	155,429			413,407	-	-
Dividend paid	31.	-			(539,082)		-		(539,082)
Net cash from financing activities		(7,789,842)			(690,417)		(6,522,564)		1,427,571
Increase/(decrease) in cash and cash equivalents		(576,337)			(386,181)	(415,208)	(391,615)
Cash and cash equivalents at 1 January		100,969			487,151		(155,507)		236,108
Cash and cash equivalents at 30 September	36.	(475,368)			100,969	(570,715)	(155,507)

The accompanying notes are an integral part of these consolidated financial statements.

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