SIF Banat-Crișana ends the first quarter of 2021 with a solid financial position.
The net asset value, calculated in accordance with ASF regulations, reached RON 3,082.08m as of March 31, 2021, 6.87% up vs. 2020-year end, an upsurge of 36.62% compared to the same period of the previous year.
The company had an investment policy during the first three months of the year of fully or partially divesting from some positions in the stock portfolio, in order to increase the liquidity reserve, seeking to provide financial resources to address the proposed investment projects and the buyback programs approved by the shareholders.
During Q1 2021, the company had no dividend income, as no company in the portfolio approved the distribution of dividends until the date of interim reporting. Interest income decreased compared to the same period of the previous year, due to the collection at maturity of a significant volume of liquidity placed in high-yield corporate bonds, no longer in the portfolio in Q1 2021.
Gain on investment amounts to RON 100.84m at the end of Q1, mainly resulting from the valuation as of March 31, 2021 of the financial assets in the portfolio recorded at fair level through profit and loss (e.g. listed shares – subsidiaries and associates, fund units and bonds). The upward trend in global stock markets has had a positive influence on the market value for locally listed stocks and accounted in this category.
Expenses as of March 31, 2021 are higher vs. the corresponding period of 2020 but having a clearly inferior progress vs. the advancement of the net result.
Net profit as of March 31, 2021, amounting to RON 94.8 million, is the effect of the result of the valuation at fair value of the above-mentioned shareholdings.
Total comprehensive income as of March 31, 2021 is positive, amounting to RON 183.3m, and is the effect of recognizing in other comprehensive income of the fair value increase of the portfolio of financial assets classified in FVTOCI (Assets at fair value through other comprehensive income – mainly shareholdings in the financial-banking sector).
Chairman of the Board of Directors & CEO, Bogdan-Alexandru DRĂGOI
Financial Reporting Manager, Dorel BABA