$63.2M Profit for FHL Group

The annual general meeting for FHL Group is scheduled for Friday, October 27 at 12 the Harbour Point Conventional Centre, 1 Marine Drive, Lami.
03 Oct 2023 17:13
$63.2M Profit for FHL Group
Ra Marama Building at Gordon Street, is home to the headquarters of Fijian Holdings Limited. File Photo

The Fijian Holdings Limited (FHL) Group’s profit stood at $63.2 million, a significant increase from $18.6 million last year.

According to Colonel Sakiusa Raivoce, board chairman address in the the 2023 FHL annual report, this was a remarkable growth which is a testament to the dedication and hard work of the management team and employees.

As of June 30, last year, the net assets of the group had grown to $323.3 million, up from $280.3 million during the same period last year.

“This substantial increase in net assets signifies the strong financial position that FHL holds and reflects the prudent management of our assets and resources, and denotes a continuing growth in shareholders’ equity in the company.”


Some of these improvements, Mr Raivoce said can be attributed to the successful raising and listing of the wholesale corporate bond and the implementation of a split banking model.

“These strategic moves have further fortified our financial position, allowing us to weather uncertainties and focus on long-term growth prospects,” he said.

The current economic environment is re-assuring to investors, the report noted.

“The stability post-election and accommodating budgetary measures will provide some confidence to business-owners and investors.

“Banking system liquidity remains high at $2.5 billion, which has kept interest at historic lows, providing us opportunity to pursue new investment opportunities.”


South Sea Cruises 

South Sea Cruises played a pivotal role as a major contributor to the profit, experiencing a significant turnaround as Fiji witnessed an unprecedented influx of visitors.

FHL chief executive officer Jaoji Koroi said: “The tourism industry demonstrated robust performance throughout the year, with visitor arrivals, hotel occupancy rates, and revenue generated from room sales exceeding the levels observed in both 2022 and 2019.

“Investments in associate companies have continued to bolster the Group’s consolidated figures, with this year witnessing a marginal decrease in the share of profits, amounting to $5.6 million, compared to the prior year’s figure of $9.3 million.”


FHL Group Outlook 

In pursuit of its core purpose, Mr Koroi says FHL would be taking a more active role in facilitating investments with its shareholder base.

“The board has allocated 10 per cent of its capital base to invest alongside iTaukei businesses.

“This is our new frontier.

“While the board is fully aware of the risks involved, it is in line with our core purpose.

“We will ensure that we collaborate with like-minded partners to build an appropriate governance framework and the right model to feasibility-unlock this opportunity.”


He said the group also takes great pride in its core strengths, including a well-defined strategy, an unwavering commitment to achieving excellence, and a robust governance framework.

“These strengths serve as the foundation of our organisation and will reinforce our position as we strive for excellence in all aspects of our operations.

“We remain dedicated to enhancing our margins through constructive dialogue with regulatory authorities regarding pricing strategies and optimising our market routes to improve efficiency.”

The group’s future growth is directed by five key priorities which forms part of the group strategic plan for the next three years.

“As an investment company, our results rely on the type and quality of investments we make.

“The management together with the board will ensure that the company continues to make investments that maximise the shareholder returns.”

Despite the year’s commendable achievements, Mr Koroi said the board remains prudent and vigilant about the future.



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