CUSTODIAN INVESTMENT : QUARTER 4 - FINANCIAL STATEMENT FOR 2022

UNAUDITED CONSOLIDATED

FINANCIAL REPORTS

FOR THE FOURTH QUARTER ENDED

31ST DECEMBER 2022

							Custodian Investment Plc
						Financial Reports (unaudited)
							31 December 2022
Consolidated and separate statement of financial position
As at 31 December 2022
				Group	Group	Company	Company
	In thousands of naira	Note	31-Dec-22	31-Dec-21	31-Dec-22	31-Dec-21
				Unaudited	Audited	Unaudited	Audited
	Assets
	Cash and cash equivalents	5		21,471,343	17,176,184	1,855,128	601,326
	Trade receivables	7		1,752,957	174,759	-	-
	Financial assets:	6		136,985,179	113,959,758	3,842,238	5,474,647
	- Fair value through profit or loss			82,977,625	68,536,913	528,078	1,101,825
	- Fair value through OCI			2,271,678	1,391,534	391,000	391,000
	- Debt securities at amortised cost			51,735,876	44,031,311	2,923,160	3,981,822
	Reinsurance assets	8		9,603,925	8,252,161	-	-
	Inventories	9		4,874,529	6,084,508	-	-
	Deferred acquisition costs	10		987,566	784,693	-	-
	Other receivables and prepayments	11		5,615,013	6,022,573	2,334,405	1,904,939
	Right-of-use-assets	20		34,038	69,862	-	-
	Investment in subsidiaries	12		-	-	15,373,012	15,373,012
	Investments in joint ventures	14		130,393	130,393	-	-
	Equity accounted investee	13		3,290,257	4,801,675	3,109,987	525,364
	Investment properties	15		11,901,485	11,760,655	7,081,416	7,081,066
	Assets of disposal group classified as
	held for sale	16		-	8,086,683	-	-
	Property, plant and equipment	18		13,241,035	4,696,005	401,425	94,548
	Intangible assets	17		224,733	172,486	16,755	25,132
	Statutory deposits	19		2,689,890	2,299,144	-	-
	Total assets			212,802,343	184,471,539	34,014,366	31,080,034
	Liabilities and equity
	Liabilities
	Insurance contract liabilities	21		100,408,814	85,036,841	-	-
	Investment contract liabilities	22		9,070,217	8,616,191	-	-
	Interest bearing Loans and Borrowings	23		1,994,446	2,516,621
	Trade payables	24		11,991,405	8,618,956	-	-
	Liabilities of disposal group classified as
	held for sale	25		-	1,187,895	-	-
	Other payables	26		10,935,518	10,159,372	1,523,843	1,258,315
	Current income tax payable	27		3,160,546	1,941,504	1,302,569	657,323
	Deferred tax liabilities	28		1,998,294	2,134,377	640,522	624,088
	Total liabilities			139,559,240	120,211,757	3,466,934	2,539,726
	Equity
	Issued share capital	29		2,940,933	2,940,933	2,940,933	2,940,933
	Share premium	30		6,412,357	6,412,357	6,412,357	6,412,357
	Retained earnings	31		39,461,445	31,613,718	21,194,142	19,187,018
	Contingency reserve	31		13,611,069	12,961,014	-	-
	Fair value reserves	31		503,550	504,196	-	-
	Revaluation reserve	31		630,498	685,081	-	-
	Equity attributable to owners of the parent	63,559,852	55,117,299	30,547,432	28,540,308
	Non-controlling interests			9,683,251	9,142,483	-	-
	Total equity			73,243,103	64,259,782	30,547,432	28,540,308
	Total equity and liabilities			212,802,343	184,471,539	34,014,366	31,080,034

The accounts were approved by the Board of directors on 27 January 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 (unaudited)

31 December 2022

Consolidated and separate statements of profit or loss and other comprehensive income

For the period ended 31 December 2022

		Group	Group	Group	Group	Company	Company	Company	Company
		Q4 ended	Q4 ended	Year to date	Year to date	Q4 ended	Q4 ended	Year to date	Year to date
In thousands of naira	Note	31-Dec-22	31-Dec-21	31-Dec-22	31-Dec-2131-Dec-2231-Dec-21	31-Dec-22	31-Dec-21
		Unaudited	Unaudited	Unaudited	Audited	Unaudited	Unaudited	Unaudited	Audited
Gross Revenue		27,505,051	20,537,439	103,037,162	85,740,334	1,922,280	472,244	7,003,017	6,017,048
Interest income	33	4,219,986	3,228,879	15,086,191	11,599,419	85,189	44,801	176,732	280,187
Operating and Investment Income	32	23,285,065	17,308,560	87,950,971	74,140,915	1,837,091	427,443	6,826,285	5,736,861
Operating Expenses	34	(18,324,666)	(16,560,726)	(60,873,261)	(52,553,398)	-	-	-	-
Change in Provision for Outstanding Claims and
Life Fund Estimate	34(iii)	(1,513,360)	742,329	(13,517,533)	4,827,955	-	-	-	-
Net income		7,667,025	4,719,042	28,646,368	38,014,891	1,922,280	472,244	7,003,017	6,017,048
Net fair value gains/(losses)	35	2,616,675	4,301,241	(3,678,452)	(17,627,006)	63,688	2,846,616	(98,711)	2,734,456
Net realised gains	36	(502,771)	(377,730)	1,523,557	2,764,116	-	-	28,515	490
Impairment allowance	38	(1,960,540)	(312,230)	(2,005,786)	(763,362)	10,875	636,239	10,875	(38,761)
Finance costs	39	(44,812)	(103,906)	(166,460)	(510,198)	-	-	-	-
Management expenses	37	(3,081,541)	(3,057,285)	(10,842,394)	(9,864,689)	(337,721)	(291,629)	(1,319,954)	(1,304,805)
Share of result of equity accounted investee	13	1,447,604	308,481	237,811	308,481			-	-
Profit before taxation		6,141,640	5,477,613	13,714,644	12,322,233	1,659,122	3,663,470	5,623,742	7,408,428
Income tax expenses	27	(521,042)	(366,786)	(2,360,268)	(2,151,302)	(216,832)	(319,685)	(675,686)	(830,668)
Profit from continuing operation		5,620,598	5,110,827	11,354,376	10,170,931	1,442,290	3,343,785	4,948,056	6,577,760
Discontinued operations
Profit/(loss) from discontinued operation	41	-	(72,921)	-	(116,286)	-	-	-	-
Profit for the period		5,620,598	5,037,906	11,354,376	10,054,645	1,442,290	3,343,785	4,948,056	6,577,760
Other comprehensive income (OCI):
Items that will not be reclassified to profit or loss
Equity-accounted investee -share of OCI	13	(238)	(9,029)	(7,056)	(9,029)			-	-
Net gain/(loss) on equity instrument at FVOCI	40	205,809	(82,309)	68,652	(107,103)	-	-	-	-
Other comprehensive income for the period net
of tax		205,571	(91,338)	61,596	(116,132)			-	-
Total comprehensive income for the period		5,826,169	4,946,568	11,415,972	9,938,513	1,442,290	3,343,785	4,948,056	6,577,760
Profit for the period attributable to:
- Owners of the parent		5,289,992	5,281,519	10,862,480	10,659,759	1,442,290	3,343,785	4,948,056	6,577,760
- Non-controlling interests		330,606	(243,613)	491,896	(605,114)	-	-	-	-
		5,620,598	5,037,906	11,354,376	10,054,645	1,442,290	3,343,785	4,948,056	6,577,760
Total comprehensive income attributable to:
- Owners of the parent		5,498,637	5,138,764	10,982,513	10,563,775	1,442,290	3,343,785	4,948,056	6,577,760
- Non-controlling interests		327,532	(192,196)	433,459	(625,262)			-	-
		5,826,169	4,946,568	11,415,972	9,938,513	1,442,290	3,343,785	4,948,056	6,577,760
Earnings/(loss) per share:
From continuing operations
Basic/diluted earnings per share (kobo)	42	90	91	185	183	25	57	84	112
From continuing and discontinued operations
Basic/diluted earnings per share (kobo)	42	90	90	185	181	25	57	84	112

3

Consolidated and separate statement of changes in equity

For the period ended 31 December 2022

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 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	-	-	10,862,480	-	-	-	10,862,480	491,896	11,354,376
Other comprehensive income		-	-	-	(54,583)	210,970	156,387	(94,791)	61,596
Statute barred dividend refund				989					989	951	1,940
Transfer of fair value reserve of equity instruments	-	-	211,616	-	-	(211,616)	-	-	-
Gain on reclassification of asset of disposal
group held for sale	-	-	363,629	-	-	-	363,629	349,369	712,998
Transfer between reserves	-	-	(650,055)	650,055	-	-	-	-	-
	2,940,933	6,412,357	42,402,377	13,611,069	630,498	503,550	66,500,784	9,889,908	76,390,692
Dividend Paid	-	-	(2,940,932)	-	-	-	(2,940,932)	(206,657)	(3,147,589)
At 31 December 2022	2,940,933	6,412,357	39,461,445	13,611,069	630,498	503,550	63,559,852	9,683,251	73,243,103
At 1 January 2021	2,940,933	6,412,357	25,379,761	11,679,092	698,693	538,075	47,648,911	9,857,472	57,506,383
Profit for the period	-	-	10,659,759	-		-		10,659,759	(605,114)	10,054,645
Other comprehensive income				-	-	(13,612)	-24,850	(38,462)	-68,641	(107,103)
Share of profit	-	-	-	-	-	(9,029)	(9,029)		(9,029)
Net changes in fair value of loan from equity holders			91,145				-	91,145	87,570	178,715
Mandatory takeover of NCI	-								-	(18,725)	(18,725)
Transfer between reserves	-	-	(1,281,922)	1,281,922			-		-
	2,940,933		6,412,357	34,848,743		12,961,014	685,081	504,196		58,352,324	9,252,562	67,604,886
Dividend Paid				(3,235,025)	-			(3,235,025)	(110,079)	(3,345,104)
At 31 December 2021	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

Company			Attributable to owners of the Company
	Issued share	Share	Retained	Contingency	Revaluation	Fair value
In thousands of naira	capital	premium	earnings	reserve	Reserve	reserve	Total
At 1 January 2022	2,940,933	6,412,357	19,187,018	-	-	-	28,540,308
Profit for the period	-	-	4,948,056	-	-	-	4,948,056
Dividend Paid	-	-	(2,940,932)	-	-	-	(2,940,932)
At 31 December 2022	2,940,933	6,412,357	21,194,142	-	-	-	30,547,432
At 1 January 2021	2,940,933	6,412,357	15,844,282	-	-	-	25,197,572
Profit or loss for the period	-	-	6,577,760	-	-	-	6,577,760
Dividend Paid			(3,235,025)				(3,235,025)
At 31 December 2021	2,940,933	6,412,357	19,187,018	-	-	-	28,540,308

Custodian Investment Plc

Financial Reports (unaudited)

31 December 2022

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Custodian Investment Plc

							Financial Reports (unaudited)
								31 December 2022
Consolidated and separate statement of cash flows
For the period ended 31 December 2022
				Group	Group	Company	Company
	In thousands of naira	Note		31-Dec-22	31-Dec-21	31-Dec-22	31-Dec-21
	Cash flows from operating activities
	Profit/(loss) before taxation			13,714,644	12,322,233	5,623,742	7,408,428
	Adjustments for non-cash items:
	- Fair value (gain)/loss		35	6,235,107	22,544,027	99,188	(2,435,695)
	- Write back of excess tax provision			-	(34,061)	-	(34,061)
	- Depreciation		18	598,335	431,153	81,714	44,660
	- Deprecition on right-of-use assets		20	45,534	58,783	-	-
	- Impairment charge		38	2,005,786	763,362	(10,875)	38,761
	- Amortisation of intangible assets and deferred expense		17	64,163	57,344	8,377	-
	- Profit on disposal of property, plant and equipment			(60,256)	(14,015)	(1,200)	-
	- (Gain)/loss on disposal of investment property			41,081	(284,734)	-	-
	- (Gain)/loss on disposal equities & other investment		36	(1,474,340)	(2,677,413)	-	-
	- Fair value gains on investment properties			(114,878)	(2,459,531)	-	-
	- Exchange rate differential			(2,441,777)	2,245,444	(477)	(490)
	- Share of result of equity accounted investee		13	(237,811)	(308,481)	-	-
	- WHT on dividend			-	-	499,854	-
	- Dividend income			(923,460)	(635,842)	(5,097,831)	(4,274,082)
	- Interest income			(1,300,759)	-	(145,264)	(214,430)
	- Investment income			(13,785,432)	-	(31,469)	(65,757)
	- Net gain/(losses) in value of embedded derivative			-			-
	- Net gain/(losses) on fair value through OCI assets			(264,915)	58,982	-	-
	Changes in working capital:
	(Increase)/Decrease in reinsurance assets			(1,351,764)	(374,167)	-	-
	(Increase)/Decrease in other receivables and prepayment		407,560	1,022,849	(429,466)	563,349
	Decrease in trade receivables			(1,578,198)	243,146	-	-
	Increase/(Decrease) in deferred acquisition cost			(202,873)	(121,863)	-
	Increase/ (Decrease) in insurance contract liabilities			15,371,973	(4,505,302)	-	-
	Increase /(Decrease) in investment contract liabilities			454,026	2,543,573	-	-
	Increase / (Decrease) in other liablilities			776,146	1,474,364	265,528	223,242
	Increase / (Decrease) in trade payable			3,372,449	3,991,381	-	-
	Increase / (Decrease) in inventories			1,209,979	1,813,602	-	-
	Increase / (Decrease) in statutory deposit			(390,746)	(1,739,144)	-	-
	Increase / (Decrease) in borrowings			(522,175)	(2,905,879)	-	-
	Income tax paid			(1,253,913)	(987,003)	(14,006)	(446,367)
	Net cash provided/(utilised) by operating activities			18,393,486	32,522,808	847,815	807,558
	Cash flows from investing activities
	Purchase of property, plant and equipment		18	(1,141,910)	(697,807)	(388,590)	(82,431)
	Purchase of ROU asset		20	(22,241)	(39,948)	-	-
	Proceeds on disposal of property, plant and equipment			73,451	30,658	1,199	-
	Purchase of intangible			(88,956)	(70,722)	-	(25,132)
	Net (Purchase)/redemption to investments (financial assets)		(28,293,297)	(23,407,709)	1,544,096	(3,123,587)
	Fair value gain in investment property			(117,230)	-	(350)	-
	Purchase of investment in associate/subsidiary			-	(18,725)	(2,584,623)	(118,725)
	Purchase of investment properties		15	(23,600)	(21,947)	-	-
	Dividend received			923,460	635,842	4,597,977	4,274,082
	Investment income received			15,086,191	-	176,733	280,187
	Net cash provided/(used) in investing activities			(13,604,131)	(23,590,358)	3,346,442	1,204,394
	Cash flows from financing activities
	Fair value of loan from equity holders			211,616	91,145	-	-
	Dividend Paid during the period			(3,147,589)	(3,345,104)	(2,940,932)	(3,235,025)
				(2,935,973)	(3,253,960)	(2,940,932)	(3,235,025)
	Net increase/(decrease) in cash and cash equivalents			1,853,382	5,678,490	1,253,325	(1,223,073)
	Cash and cash equivalents at begining of the year			17,176,184	13,743,138	601,326	1,654,286
	Effect of change in exchange rate			2,441,777	(2,245,444)	477	170,113
	Cash and cash equivalents at end of the period			21,471,343	17,176,184	1,855,128	601,326

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