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Jul 27, 2021, 16 tweets

Centum is hosting an Analysts Call at 3pm following FY 2020/2021 results.

Keep it here for highlights.

#CentumFY21

- No exits this year
- 30% expenses target by end of the strategy period
- Kshs 4.2B unrealized losses were driven by business multiples down, the performance of its businesses going down, and deferred tax being passed at 30% from the previous 5%

Company Income Statement:

-Loss of Ksh 607M for the year
-Revaluations driven by low business performance
-Finance costs down following 6.6B bond redemption

NAV v Stock Price:

- ~Kshs 13B in debt paid reducing debt from ~Kshs 16B to ~Kshs 3B

Here's an overview of @CentumPLC's portfolio.

Centum Real Estate is 100% owned 100% by Centum PLC

Private Equity:
-Half of portfolio companies profitable
-Exits put on hold

In their Private Equity segment:

Sidian Bank: Kshs 102m profit in Q1
Longhorn Publishers: 24.5% market share in Kenya
Isuzu: 20% market share gained from 2011

Marketable securities portfolio allocation:

High Yield Fund:

-Bulk of portfolio allocation in fixed income
-Gross return of 12%

Kshs 0.33 dividend per share totalling to Kshs 218m, down from the previous Kshs 799m

Outlook for the coming financial year:

Considerations for reducing the dividend paid:
- Company profit of Kshs 245m
- Current economic uncertainties

Company looking forward to going back to its dividend policy.

- On the TRDL capital restructuring, @CentumPLC intends to bring in an equity investor to reduce the debt burden

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