AMCON’s profit hit N108bn in 2023 — up from N34bn in 2022

The Asset Management Corporation of Nigeria (AMCON) says it raked in a triple-digit profit of N108.43 billion in 2023.

According to a statement on Tuesday by Jude Nwauzor, head, corporate communications department of the debt recovery agency, the profit is a 202 percent increase from N34.73 billion in the previous year.

The agency said the growth is occurring despite challenging macroeconomic conditions and economic headwinds.

“A breakdown of this impressive achievement showed that AMCON, which is currently led by Mr Gbenga Alade as Managing Director/Chief Executive Officer achieved a Year-on-Year (YoY) growth in profit of 212% from N34.730 billion in the financial year, which ended on December 31, 2022, to N108.433 billion in the period ended December 31, 2023,” Nwauzor said.

The company said fair valuation gains on eligible bank assets (EBAs) increased to N40.9 billion in 2023 from a loss of N187.9 billion in 2022.

“Equity portfolio recorded 82% growth in 2023 amounting to N43 billion as compared with N7.9 billion in 2022. The significant trading gains is as result of an improved performance in the stock market,” he said.

“Interestingly, the Corporation achieved a favourable reduction in total liabilities, from N6.282 trillion in 2022 to N5.739 trillion in 2023, primarily due to repayments of the N500 billion Central Bank of Nigeria (CBN) loan.” 

Nwauzor said AMCON also achieved 89 percent of its revenue budget in 2023 — as the total recovery in 2023 stood at N125.2 billion.

A breakdown of the recovery showed that AMCON collected N81.65 billion from various obligors, N17.8 billion from share sales, N15.5 billion from reinvestment income, and N6 billion as proceeds from the sale of properties.

He said despite the country’s challenging economic environment, occasioned by the removal of subsidy and fluctuation of the naira, AMCON recorded N3.8 billion in dividend income and N0.5 billion from rental income.

Speaking on the achievement, the executive management said AMCON is strategically positioned to continue with the positive trajectory achieved in 2023. 

The management said this is with special emphasis on improved recoveries and effectively realising value from the sale of forfeited assets to support the corporation’s mission.