[2008-10-20]  Letshego releases remarkable results


Micro Provident Botswana Limited soon to be Letshego Holdings
Limited has released remarkable results for the six months ended 31 July 2008. The Group registered a growth in earnings of 62% to P96.9 million. Total income from lending activities, including fees and commission was P198.8 million, reflecting an increase of 65% which is in line with the increase in the loan book. Total operating expenses rose by 30% to P44.9 million with staff costs contributing over 50% to this figure. The Group increased its head count from 254 to 358 in order to sustain its expansion strategy. The cost-to-income ratio of the Group came in at 24.5% (1H07: 29.6%), which is in line with its target range of 20%-25%. Competition, especially in Botswana remains a challenge. However, Letshego’s efficient turnaround time coupled with the introduction of new products such as Letshego Direct are expected to increase customer base. An interim dividend has been deferred, and will be paid along with the final dividend due to the various fundraising initiatives currently being explored.On another note, Letshego held an Annual General Meeting on 9 October 2008, wherein the following resolutions passed:- A change of name from Micro Provident Botswana Limited to Letshego Holdings Limited.- An adoption of a constitution which complies with the Botswana Companies Act, 2003.- The use of debt instruments by the company to raise funding up to a maximum of P1 billion to finance the growth strategies of the group.- To authorise the directors to take all such steps and sign all such documents as necessary to give effect the above resolutions.

Source: BSE