Nairobi Business Ventures (NBV) has reported a rise in the net profit for the period that ended 31st March 2021 to Kes 32.9 million from a net loss of Kes 39.4 million recorded during a similar period last year. The company achieved sharp growth in profit after restarting its trading business during the year.
NBV posted KSh45.4 million in revenue at the end of March this year, compared to zero revenue a year ago when it had closed down its operations.
In November 2020, Dubai based Delta International FZE acquired 84% ownership in Nairobi Business Ventures at a cost of Kes 83 million. The acquisition set the Nairobi based company on a new growth path.
NBV’s total assets grew to Kes177.8 million at the end of March, after the acquisition by Delta International FZE, from Kes 6.9 million the previous year. The company’s total debt fell to Kes 28.9 million at the end of March 2021 from Kes 98.5 million at the end of March 2020.
Nairobi Business Ventures revealed that it is in the process of buying four businesses: Air Direct Connect Limited, Aviation Management Solutions Limited, Delta Automobile Limited, and Delta Cement Limited through a share swap deal. According to NBV, the acquisitions will enable the company to go into maintenance in aviation, cement manufacturing, and truck maintenance and to continue its trading business.
Nairobi Business Ventures will hold a virtual Annual General Meeting on 22nd September 2021 when investors in the company will discuss the proposed acquisitions.
NBV Outlook and Dividend
In its financial report, NBV revealed that it plans to use the capital markets to raise funds for expanding its truck fleet maintenance business in the near future.
The board of directors did not the payment of an interim dividend.
Read also; NSE Lifts Suspension of Trading on NBV Shares.