CUSTODIAN INVESTMENT : QUARTER 2 - FINANCIAL STATEMENT FOR 2023

UNAUDITED CONSOLIDATED

FINANCIAL REPORTS

FOR THE HALF YEAR ENDED

30TH JUNE 2023

					Custodian Investment Plc
					Financial Reports
Consolidated and separate statement of financial position				30 June 2023
As at 30 June 2023
		Group	Group	Company	Company
In thousands of naira	Note	30-Jun-23	31-Dec-22	30-Jun-23	31-Dec-22
		Unaudited	Audited	Unaudited	Audited
Assets
Cash and cash equivalents	5	21,587,325	22,044,849	1,429,341	1,855,128
Trade receivables	7	5,334,485	1,653,611	-	-
Financial assets:	6	165,255,652	136,467,520	4,471,218	3,842,238
- Fair value through profit or loss		86,586,163	82,577,385	763,397	528,078
- Fair value through OCI		8,465,364	2,645,972	391,000	391,000
- Debt securities at amortised cost		70,204,125	51,244,163	3,316,821	2,923,160
Reinsurance assets	8	13,563,357	9,394,263	-	-
Inventories	9	4,466,698	5,265,758	-	-
Deferred acquisition costs	10	1,948,167	987,566	-	-
Other receivables and prepayments	11	6,025,780	5,846,664	2,271,293	2,334,405
Right-of-use-assets	19	22,634	28,397	-	-
Investment in subsidiaries	12	-	-	15,373,012	15,373,012
Investments in joint ventures	14	125,647	125,647	-	-
Equity accounted investee	13	3,313,035	3,290,257	3,109,987	3,109,987
Investment properties	15	11,901,485	11,901,485	7,081,416	7,081,416
Property, plant and equipment	17	13,235,822	13,279,230	357,157	401,425
Intangible assets	16	244,805	239,712	12,566	16,755
Statutory deposits	18	2,830,465	2,672,415	-	-
Total assets		249,855,357	213,197,374	34,105,990	34,014,366
Liabilities and equity
Liabilities
Current income tax payable	25	1,566,635	3,346,153	844,606	1,294,989
Trade payables	23	21,520,224	12,134,504	-	-
Other payables	24	11,913,989	11,637,870	1,370,994	1,523,843
Insurance contract liabilities	20	123,461,660	100,079,820	-	-
Investment contract liabilities	21	9,830,989	9,070,212	-	-
Interest bearing loans and borrowings	22	2,146,881	2,179,173
Deferred tax liabilities	26	2,428,962	2,066,875	659,695	636,163
Total liabilities		172,869,340	140,514,607	2,875,295	3,454,995
Equity
Issued share capital	27	2,940,933	2,940,933	2,940,933	2,940,933
Share premium	28	6,412,357	6,412,357	6,412,357	6,412,357
Retained earnings	29	41,803,332	39,114,585	21,877,405	21,206,081
Contingency reserve	29	13,947,529	13,594,424	-	-
Fair value reserves	29	1,681,778	477,604	-	-
Revaluation reserve	29	630,498	630,498	-	-
Equity attributable to owners of the parent	67,416,427	63,170,401	31,230,695	30,559,371
Non-controlling interests		9,569,590	9,512,366	-	-
Total equity		76,986,017	72,682,767	31,230,695	30,559,371
Total equity and liabilities		249,855,357	213,197,374	34,105,990	34,014,366

The accounts were approved by the Board of directors on 28 July 2023 and signed on its behalf by:

Dr. (Mrs.) Omobola Johnson	Wole Oshin	Ademola Ajuwon
Chairman	Managing Director	Chief Financial Officer
FRC/2018/IODN/00000018366	FRC/2013/CIIN/00000003054	FRC/2013/ICAN/00000002068

2

Custodian Investment Plc

									Financial Reports
									30 June 2023
Consolidated and separate statements of profit or loss and other comprehensive income
For the period ended 30 June 2023
		Group	Group	Group	Group	Company	Company	Company	Company
		Q2 ended	Q2 ended	Year to date	Year to date	Q2 ended	Q2 ended	Year to date	Year to date
In thousands of naira	Note	30-Jun-23	30-Jun-22	30-Jun-23	30-Jun-2230-Jun-23	30-Jun-22	30-Jun-23	30-Jun-22
		Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited
Gross Revenue		31,032,442	25,113,101	58,883,837	48,497,997	2,791,245	2,574,830	4,892,515	4,094,969
Interest income	31	4,878,380	3,359,006	9,392,650	6,908,800	42,908	16,241	83,654	38,872
Operating and Investment Income	30	26,154,062	21,754,095	49,491,187	41,589,197	2,748,337	2,558,589	4,808,861	4,056,097
Operating Expenses	32	(15,407,178)	(14,537,116)	(30,136,154)	(27,253,172)	-	-	-	-
Change in Provision for Outstanding Claims and
Life Fund Estimate	32(iii)	(14,488,284)	(3,119,756)	(15,706,611)	(9,814,634)	-	-	-	-
Net income		1,136,980	7,456,229	13,041,072	11,430,191	2,791,245	2,574,830	4,892,515	4,094,969
Net fair value gains/(losses)	33	7,848,791	(2,584,727)	1,609,954	(1,432,972)	199,825	(29,328)	236,637	(120,715)
Net realised gains	34	7,150	1,329,781	109,218	1,821,626	-	25,950	519	28,515
Impairment allowance	36	(357,632)	-	(418,646)	(19,671)	-	-	-	-
Finance costs	37	(71,184)	(40,124)	(107,219)	(93,845)	-	-	-	-
Management expenses	35	(3,462,495)	(2,495,224)	(6,508,819)	(4,873,731)	(335,915)	(314,426)	(688,451)	(666,918)
Share of result of equity accounted investee	13	140,654	(385,452)	149,791	(758,477)			-	-
Profit before taxation		5,242,264	3,280,483	7,875,351	6,073,121	2,655,155	2,257,026	4,441,220	3,335,851
Income tax expenses	25	(961,202)	(724,754)	(1,590,279)	(1,322,260)	(301,871)	(240,854)	(534,871)	(377,854)
Profit from continuing operation		4,281,062	2,555,729	6,285,072	4,750,861	2,353,284	2,016,172	3,906,349	2,957,997
Discontinued operations
Loss from discontinued operation	39	-	(19,559)	-	(28,287)	-	-	-	-
Profit for the period		4,281,062	2,536,170	6,285,072	4,722,574	2,353,284	2,016,172	3,906,349	2,957,997
Other comprehensive income (OCI):
Items that will not be reclassified to profit or loss
Equity-accounted investee -share of OCI	13	2,205	(6,818)	2,458	(6,818)			-	-
Net gain/(loss) on equity instrument at FVOCI	38	1,277,825	1,990	1,250,745	(133,545)	-	-	-	-
Other comprehensive income for the period net
of tax		1,280,030	(4,828)	1,253,203	(140,363)			-	-
Total comprehensive income for the period		5,561,092	2,531,342	7,538,275	4,582,211	2,353,284	2,016,172	3,906,349	2,957,997
Profit for the period attributable to:
- Owners of the parent		4,306,429	2,489,382	6,276,877	4,556,187	2,353,284	2,016,172	3,906,349	2,957,997
- Non-controlling interests		(25,367)	46,788	8,195	166,387	-	-	-	-
		4,281,062	2,536,170	6,285,072	4,722,574	2,353,284	2,016,172	3,906,349	2,957,997
Total comprehensive income attributable to:
- Owners of the parent		5,589,034	2,396,136	7,460,290	4,447,005	2,353,284	2,016,172	3,906,349	2,957,997
- Non-controlling interests		(27,942)	135,206	77,985	135,206			-	-
		5,561,092	2,531,342	7,538,275	4,582,211	2,353,284	2,016,172	3,906,349	2,957,997
Earnings/(loss) per share:
From continuing operations
Basic/diluted earnings per share (kobo)	40	73	43	107	78	40	34	66	50
From continuing and discontinued operations
Basic/diluted earnings per share (kobo)	40	73	43	107	78	40	34	66	50

3

Consolidated and separate statement of changes in equity

For the period ended 30 June 2023

Group			Attributable to owners of the Parent
	Issued share	Share	Retained	Contingency	Revaluation	Fair Value		Non-controlling
In thousands of naira	capital	premium	earnings	reserve	Reserve	Reserve	Total	interests	Total equity
At 1 January 2023	2,940,933	6,412,357	39,114,585	13,594,424	630,498	477,604	63,170,401	9,512,366	72,682,767
Profit for the period	-	-	6,276,877	-	-	-	6,276,877	8,195	6,285,072
Share of profit	-	-	-	-	-	-	-	-	-
Other comprehensive income		-	-	-	-	1,204,174	1,204,174	49,029	1,253,203
Gain on reclassification of asset of disposal
group held for sale	-	-	-	-	-	-	-	-	-
Transfer between reserves	-	-	(353,105)	353,105	-	-	-	-	-
	2,940,933	6,412,357	45,038,357	13,947,529	630,498	1,681,778	70,651,452	9,569,590	80,221,042
Dividend Paid	-	-	(3,235,025)	-	-	-	(3,235,025)	-	(3,235,025)
At 30 June 2023	2,940,933	6,412,357	41,803,332	13,947,529	630,498	1,681,778	67,416,427	9,569,590	76,986,017
	Issued share	Share	Retained	Contingency	Revaluation	Fair Value		Non-controlling
	capital	premium	earnings	reserve	Reserve	Reserve	Total	interests	Total equity
At 1 January 2022	2,940,933	6,412,357	31,613,718	12,961,014	685,081	504,196	55,117,299	9,142,483	64,259,782
Profit for the period	-	-	4,556,187	-		-	4,556,187	166,387	4,722,574
Other comprehensive income			-	-	-	(74,991)	(74,991)	(65,372)	(140,363)
Share of profit	-	-	-	-	-	-	-		-
Net changes in fair value of loan from equity holders		-			-	-	-	-
Transfer between reserves	-	-	(311,912)	311,912			-		-
	2,940,933	6,412,357	35,857,993	13,272,926	685,081	429,205	59,598,495	9,243,498	68,841,993
Dividend Paid			(2,352,746)	-			(2,352,746)	(93,935)	(2,446,681)
At 30 June 2022	2,940,933	6,412,357	33,505,247	13,272,926	685,081	429,205	57,245,749	9,149,563	66,395,312
Company	Attributable to owners of the Company
	Issued share	Share	Retained
In thousands of naira	capital	premium	earnings	Total
At 1 January 2023	2,940,933	6,412,357	21,206,081	30,559,371
Profit for the period	-	-	3,906,349	3,906,349
Dividend Paid	-	-	(3,235,025)	(3,235,025)
At 30 June 2023	2,940,933	6,412,357	21,877,405	31,230,695
At 1 January 2022	2,940,933	6,412,357	19,187,018	28,540,308
Profit or loss for the period	-	-	2,957,997	2,957,997
Dividend Paid			(2,352,746)	(2,352,746)
At 30 June 2022	2,940,933	6,412,357	19,792,269	29,145,559

Custodian Investment Plc

Financial Reports

30 June 2023

4

Custodian Investment Plc

Financial Reports

30 June 2023

Consolidated and separate statement of cash flows

For the period ended 30 June 2023

		Group	Group	Company	Company
In thousands of naira	Note	30-Jun-23	30-Jun-22	30-Jun-23	30-Jun-22
Cash flows from operating activities
Profit/(loss) before taxation		7,875,351	6,073,121	4,441,220	3,335,851
Adjustments for non-cash items:
- Fair value (gain)/loss	33	3,489,398	1,259,939	(235,319)	120,643
- Write back of excess tax provision		-	-	-	-
- Depreciation	17	350,502	269,269	63,091	30,814
- Deprecition on right-of-use assets	19	27,205	20,759	-	-
- Impairment charge	36	418,646	19,671	-	-
- Amortisation of intangible assets and deferred expense	16	23,980	47,783	4,189	4,189
- Profit on disposal of property, plant and equipment		12,228	(5,875)	(519)	(1,200)
- (Gain)/loss on disposal of investment property		(364)	-	-	-
- (Gain)/loss on disposal equities & other investment	34	(18,265)	(1,322,179)	-	(27,315)
- Fair value gains on investment properties		-	-	-	-
- Exchange rate differential		(5,099,352)	173,033	(1,318)	72
- Share of result of equity accounted investee	13	(149,791)	758,477	-	-
- WHT on dividend		-	-	445,339	-
- Dividend income		(512,572)	(568,201)	(4,655,039)	(3,189,583)
- Interest income		(960,507)	(504,550)	(78,560)	(14,303)
- Investment income		(8,432,143)	(6,404,250)	(5,094)	(24,569)
- Net gain/(losses) in value of embedded derivative		-			-
- Net gain/(losses) on fair value through OCI assets		(1,204,174)	74,991	-	-
Changes in working capital:
(Increase)/Decrease in reinsurance assets		(4,169,094)	(7,378,172)	-	-
(Increase)/Decrease in other receivables and prepayment	(179,116)	(55,036)	63,112	(931,506)
Decrease in trade receivables		(3,680,874)	(2,668,026)	-	-
Increase/(Decrease) in deferred acquisition cost		(960,601)	(878,797)	-
Increase/ (Decrease) in insurance contract liabilities		23,381,840	19,961,473	-	-
Increase /(Decrease) in investment contract liabilities		760,777	(336,631)	-	-
Increase / (Decrease) in other liablilities		276,119	(506,978)	(152,849)	53,100
Increase / (Decrease) in trade payable		9,385,720	(1,906,109)	-	-
Increase / (Decrease) in inventories		799,060	576,164	-	-
Increase / (Decrease) in statutory deposit		(158,050)	(82,864)	-	-
Increase / (Decrease) in borrowings		(32,292)	(112)	-	-
Income tax paid		(3,055,849)	(1,056,260)	(961,722)	(14,006)
Net cash provided/(utilised) by operating activities		18,187,782	5,560,640	(1,073,469)	(657,813)
Cash flows from investing activities
Purchase of property, plant and equipment	17	(339,615)	(305,130)	(25,347)	(157,054)
Purchase of ROU asset	19	(24,154)	(15,094)	-	-
Proceeds on disposal of property, plant and equipment		20,293	6,028	7,043	1,200
Purchase of intangible		(29,073)	(24,437)	-	-
Net (Purchase)/redemption to investments (financial assets)	(30,042,306)	(9,653,851)	(393,661)	402,177
Proceeds from sales of long term investment securities(financial assets)		-	-	-
Purchase of investment in associate/subsidiary		-	-	-	-
Purchase of investment properties	15	-	(5,247)	-	-
Dividend received		512,572	568,201	4,209,700	3,189,583
Investment income received		9,392,650	6,908,800	83,654	38,872
Net cash provided/(used) in investing activities		(20,509,633)	(2,520,730)	3,881,389	3,474,778
Cash flows from financing activities
Fair value of loan from equity holders		-	-	-	-
Dividend Paid during the period		(3,235,025)	(2,446,681)	(3,235,025)	(2,352,746)
		(3,235,025)	(2,446,681)	(3,235,025)	(2,352,746)
Net increase/(decrease) in cash and cash equivalents		(5,556,876)	593,229	(427,105)	464,219
Cash and cash equivalents at begining of the year		22,044,849	17,176,184	1,855,128	(72)
Effect of change in exchange rate		5,099,352	(173,033)	1,318	601,326
Cash and cash equivalents at end of the period		21,587,325	17,596,380	1,429,341	1,065,473

5