CEO Duane Hinkson said the company would be turning its attention to growth across all business lines now that capital-to-assets and capital adequacy ratios were well above the industry average.

NEWS RELEASE

PORT-OF-SPAIN, April 12, 2018 — Development Finance Limited (DFL), a leading non-bank financial institution, reported a spike in profits for 2017 following the final cleanup of some TT$30 million in bad debt that had weighed down its balance sheet for years.

DFL’s year-on-year profits jumped 249% from TT$13.3 million at the end of 2016 to TT$46.4 million in 2017 driven by the one-time impact of legacy loan remediation as well as increased interest income.

“It was the final step in cleaning up the company’s balance sheet,” Chairman Andrew Ferguson said in a statement. “Over that period, DFL’s equity base has grown year-on-year from TT$105.47 million in 2011 to TT$216.22 million as at the end of 2017, which resulted in the company now having a capital-to-assets ratio of 43.96% and a very robust capital adequacy ratio of 62.48%.”

To put those figures in context, capital-to-assets and capital adequacy ratios for local commercial banks and non-bank financial institutions averaged 12.5% and 23.8% respectively at the end of 2016 according to the Central Bank’s Financial Stability Report.

“These ratios both measure a bank’s financial strength and stability, so the numbers are telling us we are ahead of the curve,” said Duane Hinkson, DFL’s chief executive. “And now that we’ve dealt with the non-performing assets, we’re turning our attention to growth across our major business lines and revisiting our roots as a champion of development finance.”

Development Finance Limited is a limited liability company reborn as a joint-venture in 2011 after capital restructuring saw the government retain a 49.75% stake in the company.

The company’s other major shareholders are Maritime General Insurance Company Limited with 33.17% and Maritime Life (Caribbean) Limited with 16.58%—the Maritime Group—with an aggregate shareholding also equal to 49.75%.

Audited and prepared by the professional services firm KPMG, DFL’s latest financials were recently published in the Trinidad Guardian and filed with both the Central Bank of Trinidad and Tobago and the Trinidad and Tobago Securities and Exchange Commission.

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click here to download our 2017 financial statements

Audited and prepared by KPMG