The PNG Power Savings and Loans Society Limited has recorded yet another year of positive results for the financial year 2018.

Chairman of the Society Mr Douglas Tuam made this remark in the Society’s recent Annual General Meeting held in Alotau International Hotel in Milne Bay province.

Mr Tuam said that despite a slight decrease of Four Percent (4%) in its profits, the Society recorded a Net Profit of Two Million Kina (K2.0m) in 2018, compared to a Net Profit of Two million, One Hundred Thousand Kina (K2.1m) in 2017.

He said the decrease in profit was mainly due to increased expenditure brought about by the change in loan provisioning according to the introduction of International Financial Reporting Standard (IFRS) 9, a new accounting standard applicable to loans issued.

“Despite these new changes, our positive outlook was derived from controlled expenditure and improved interest and dividend returns,” Mr Tuam said.

“Operationally, income increased by 10 percent from Four Million Kina (K4.0m) in 2017 to Four Million, Four Hundred Thousand Kina (K4.4m) in 2018. Correspondingly, expenditure also increased by twenty six percent (26%) from One Million, Eight Hundred Thousand Kina (K1.8m) in 2017 to Two Million, Three Hundred Thousand Kina (K2.3m) in 2018.”

Mr Tuam also highlighted positive results in the Society’s Bank South Pacific (BSP) Share Investment Portfolio, with a substantial improvement due to share price increase in 2018.

“BSP Shares increased from K9.50 per share in 2017 to K10.26 in 2018, representing an improvement of Seventy-Six Toea (0.76t) to produce a book value increase of K1.2 million from the our K1.5million Shares,” Mr Tuam said.

“In terms of growth, the Society’s Asset base grew substantially from K42.6million in 2017 to K46.1million in 2018, highlighting an improvement of 8%. In line with that, the Net Assets also increased from K21.7million in 2017 to K23.8million in 2018.” Mr Tuam extended his gratitude and appreciation to his Board of Directors, Supervisory Committee, Centre Representatives, Management and Staff of the Society and all Financial Members for their ongoing support and contribution to the continuing success of the Society Operations.