Net profits made by Dfcu for the year 2021 have fallen by at least 25%, the bank has announced.
The bank attributes the losses to the impact of Covid-19 on its customers’ business operations that resulted in an increase in loan provisions.
“The Board of Directors of dfcu Limited wishes to inform its shareholders and investors that the company’s financial statements for the year ended 31st December 2021 will indicate a decline in Net Profit exceeding 25%,” Dfcu said in a statement.
“The decline was occasioned by an increase in loan provisions made by the company as a result of the impact of Covid-19 on its business customers and the impairment of some loans and advances that formed part of the financial asset acquired by the company in the 2017.”
Dfcu said the detailed financial statements of the company will be published within the statutory timeline.
“The company remains robust and adequately capitalized. The detailed financial statements of the company will be published within the statutory timeline.”
Shareholders and potential investors have been advised to exercise caution while trading in the company’s shares.