Bayport records major leap in profit amid COVID-19
Bayport Savings and Loans recorded an impressive first half performance despite the COVID-19 pandemic which affected businesses around the world.
The company recorded a profit after tax of GH¢8.4 million, which is a significant increase on the GH¢185, 000 achieved for the same period in 2019.
It’s total assets also grew from GH¢788 million in the first half of 2019 to GH¢809 million in the first half of 2020, representing a growth of three per cent.
Taking its turn at the Ghana Stock Exchange’s facts behind the figures series, the Managing Director of Bayport Savings and Loans, Nii Amankra Tetteh, said the impressive profit performance was driven by a growth in interest income resulting from the implementation of key strategies over the last two years, significant savings from cost optimisation initiatives and a significantly reduced forex exposure.
He said the company maintained its market-leading position in the government payroll lending space with 21 per cent market share (total CAGD deductions) and furthermore enhanced its customer value proposition and experience by improving time to cash from above 24 hours in 2019 to only three hours.
Impact of COVID-19
The Managing Director pointed out that the COVID-19 pandemic presented an interesting period of growth and experience for the company.
“What was critical right from the beginning was how to craft a strategy that was cognisant of the reality on the ground and pave a way for a fast recovery. We also had to ensure that our people are safe and able to ensure continuity so we quickly moved our services online,” he stated.
He said this allowed the company to increase its deposits by over GH¢42 million within the period.
Way forward
On the way forward, he said Bayport was optimistic about its future as it prepared to introduce unique digital platforms in the second half of the year.
He said these platforms would facilitate the migration to a more seamless operation and enhance business transformation through digitisation so as to accelerate growth and provide first-class banking solutions for customers.
In addition to its strategy-driven operational changes, he said Bayport restructured its board in 2019 when three board members retired and were replaced with new members to oversee the business’ transformational agenda.
“Bayport’s board structure has always provided a solid foundation for purposeful supervision and governance of the business. It is this robust corporate governance environment that fosters its market’s trust and confidence, and underpins its favourable half-year performance.
“On the corporate social investment front, Bayport supported the country in the areas of health and education. It awarded scholarships to numerous students to attend primary, secondary and tertiary institutions across the country. This brings the total number of students who have benefitted from the Bayport Educational Scholarship Scheme to 120. In the fight against Covid-19, Bayport made donations worth more than GH¢150,000 to selected isolations centres,” he noted.
