300% growth in net profits for 2020 to US$3.68 million

First Rock Capital Holdings Group has ended 2020 with net profits growing by 300 per cent to US$3.68 million.

The real estate development and private equity outfit posted net profits of US$756,734 for 2019. Profit before taxation closed at US$3.70 million, up from the US$754,989 posted in 2019.

A tax charge of US$16,442 was booked versus a tax credit of US$1,745 for the corresponding period. Thus, resulting in net profit of US$3.68 million for 2020, compared with the 2019 posting of US$756,734.

Net profit for the quarter amounted to US$1.30 million (2019: US$472,596). Profit attributable to shareholders amounted to US$3.69 million (2019: US$756,354). Profit attributable to shareholders for the December quarter amounted to US$1.30 million (2019: US$472,596).

INVESTMENT INCOME

For 2020 First Rock recorded total investment income of US$7.44 million coming from US$2.06 million posted in 2019. The breakdown of investment income is as follows:

• Rental income amounted to US$412,177 (2019: US$80,195).
• Realised and unrealised gains on investments totalled US$5.50 million versus US$1.22 million reported in 2019.
• Interest income closed at US$1.54 million (2019: US$326,802) for the period under review.
• Dividend Income amounted to US$25,541 (2019: nil)
• Loss on foreign exchange amounted to US$432,440 versus a gain of US$420,954 booked in 2019.
• Gain on acquisition of subsidiary totalled US$188,843 (2019: nil).
• Other income for the twelve months amounted to US$204,249 (2019: US$16,600).

As for the fourth quarter in December, the company booked a total investment income of US$2.64 million compared to US$1.07 million booked for the corresponding period. Total operating expenses amounted to US$3.74 million coming from US$1.31 million posted in 2019. Of this,

• Administrative and general expenses closed at US$2.82 million (2019: US$1.18 million), 138 per cent increase relative to corresponding period in 2019.
• Depreciation totaled US$103,990 (2019: US$1,329).
• Preference dividend amounted to US$602,068 (2019: US$121,765).
• Allowance for credit losses closed at US$213,386 (2019: nil)

For the December quarter First Rock has total operating expenses of US$1.33 million, a big jump from the US$602,104 posted in comparable quarter in 2019. Furthermore, total comprehensive income for 2020 amounted to US$3.67 million, a big jump from the US$711,845 recorded in 2019, while for the December quarter, total comprehensive income closed at US$1.33 million (2019: $421,485)..

As at December 31, 2020, total assets closed at US$36.94 million (2019: US$16.17 million). This increase is primarily due to ‘Investment property’ which amounted to US$19.77 million (2019: US$9.68 million).

‘Investment Securities’ also contributed to the increase which closed at US$9.13 million (2019: US$4.34 million) as at December 31, 2020