Cytonn Investments has posted a Kshs.630.8 million profit for the 2015 Financial Year driven by strong performance in the real estate investments. The audited financial report released at Cytonn’s Annual General Meeting (AGM) this morning also cemented the company’s strong balance sheet with a total asset base of Kshs 6.5 billion.
Cytonn delivered a return on equity of 42.7% with a total equity at Kshs 3.6 billion buoyed by the company’s diversified real estate portfolio, and high yielding investment solutions, delivering robust performance built on a strong and efficient operational base.
“Our strategy to focus on the attractive alternative investment opportunities, which exist in Kenya and the region, drove our performance.’’ said Edwin Dande, Cytonn’s Chief Executive Officer. “For any great firm, it is important to have great people, products, processes and a strong distribution platform, which we have now built at Cytonn. Our focus on real estate, private equity and structured products has delivered attractive returns to our shareholders, clients and partners. As can be seen from our financial results, the balance sheet remains strong with total assets as Kshs 6.5 bn and after tax profit of Kshs 630.8 mn, which have justified our investment strategy. Our strong partnerships with global financing partners such as Taaleri of Finland, committed local partners, combined with a strong research capability has driven our strong performance,” added Edwin Dande.
With Kenya’s annual housing deficit estimated at 200,000 units annually, Cytonn’s focus on delivering institutional grade real estate, encompassed by a platform with a strong brand and focus on execution has driven the company’s total investment portfolio to 14 developments, and Kshs 73 bn of projects under mandate.
“With over 1,200 acres under development, combined with a strong private equity pipeline, we are confident that with our unique strategy of coupling supply and demand will be a catalyst for growth in the market. Our fundamental objectives are to address the housing shortage, create employment opportunities, help in deepening of the capital markets, and play our part in the growth of our economy,” said Elizabeth Nkukuu, CFA, Cytonn’s Chief Investment Officer at the Annual General Meeting.
“For our shareholders and joint venture partners, 2015 was a great year, as can be seen by our financial performance. Cytonn has delivered great numbers, registering profits of Kshs 631 million for the group,” said Prof. Daniel Mugendi, Cytonn’s Chairman. “With the continued attractive investment opportunity in Kenya and the region, and with the committed team at Cytonn, I believe we shall continue to contribute to economic growth, creating jobs and improving the standards of living” added Prof. Mugendi.