February 17, 2025

Sygnus Credit Investments Limited (SCIJMD)

Unaudited Financials for the Six Months Ended December 31, 2024

Expressed in United States dollars (except where indicated otherwise)

Sygnus Credit Investments Limited (SCIJMD) reported a 24% increase in interest income, totaling $9.45 million for the six months ended December 31, 2024, compared to $7.62 million in the corresponding period last year. Interest income for the second quarter increased by 17%, closing at $4.63 million compared to $3.94 million for the comparable quarter of 2023.

Interest expense amounted to $6.37 million (2023: $3.96 million), representing a 61% year-over-year increase. Consequently, net interest income decreased by 4% to $4.12 million compared to $4.31 million for the six months ended December 31, 2023. The company booked net interest income of $1.82 million for the second quarter versus $2.18 million reported for the similar quarter of 2023.

Fair value gains on investment increased by 3,158%, closing at $3.85 million (2023: $118,094), while net foreign exchange losses decreased by 90% from $75,912 in 2023 to $7,224 in the period under review. As a result, total revenue for the six months ended December 31, 2024, amounted to $8.13 million, a 76% increase relative to $4.62 million reported in 2023.

Management fees for the six months ended December 31, 2024, amounted to $1.64 million, a 22% increase relative to $1.34 million reported in 2023. Management fees for the second quarter amounted to $832,076 (2023: $667,896). Total expenses totaled $2.73 million, a 23% increase from the corresponding period last year (2023: $2.22 million).

Profit before tax for the six months ended December 31, 2024, amounted to $5.39 million, a 124% increase relative to $2.40 million reported in 2023. Profit before tax for the second quarter amounted to $302,124 (2023: $1.57 million).

The taxation charge for the six months ended December 31, 2024, increased by 106% to reach $265,307 (2023: $128,847).

Profit for the year, being total comprehensive income for the six months, amounted to $5.13 million, a 125% increase from the $2.28 million reported in 2023. For the second quarter, profit for the year, being total comprehensive income, was $203,790 (2023: $1.53 million).

Consequently, earnings per share for the six months amounted to $0.88 (2023: EPS: $0.39), while earnings per share for the quarter totaled $0.04 (2023: EPS: $0.22). The twelve-month trailing EPS was $4.17, and the number of shares used in these calculations was 337,964,858.

Notably, SCIJMD’s stock price closed the trading period on February 17, 2025, at a price of $12.50 with a corresponding P/E ratio of 3.00x.

Balance Sheet Highlights

The company’s assets totaled $217.81 million (2023: $206.63 million). This increase was attributable to investments, which amounted to $206.72 million (2023: $156.29 million).

Shareholders’ equity was $75.62 million (2023: $70.48 million), representing a book value per share of $0.22 (2023: $0.21).

Disclaimer:

Analyst Certification -The views expressed in this research report accurately reflect the personal views of Mayberry Investments Limited Research Department about those issuer(s) or securities as at the date of this report. Each research analyst (s) also certify that no part of their compensation was, is, or will be, directly or indirectly, related to the specific recommendation(s) or view(s) expressed by that research analyst in this research report.

Company Disclosure -The information contained herein has been obtained from sources believed to be reliable, however its accuracy and completeness cannot be guaranteed. You are hereby notified that any disclosure, copying, distribution or taking any action in reliance on the contents of this information is strictly prohibited and may be unlawful. Mayberry may effect transactions or have positions in securities mentioned herein. In addition, employees of Mayberry may have positions and effect transactions in the securities mentioned herein.