Letshego on track to achieve 2025 targets
Pan-African micro-lender, Letshego Holdings has registered strong performance for the half-year period ending June 2021.
The group, which operates in 11 African countries, has achieved double-digit growth with profit before tax going up 23 percent, from P433 million to P544 million for the half-year period compared to the previous corresponding period.
Group Chief Executive, Andrew Fening Okai described the impressive performance as, “Strong results in a challenging environment.”
“We have made significant strides in enhancing our execution capabilities, enabling us to go live with our LetsGo digital platform across 10 countries well ahead of our plan,” said Okai, adding the group is set to improve more lives with its digital and social impact solutions.
According to the Group Chairman, Enos Banda, a year ago Letshego embarked on a transformation strategy that entailed a positive shift towards digitalisation, embedding an agile culture and enterprise risk frameworks.
“Although the strides we have made in this journey have been inspiring, we are not done. Letshego is still on the march, on track to achieve its 2025 targets, which are delivering marked change in sustainable growth, impact, and value for both our customers and shareholders,’ said Banda.
The group’s financial performance in the first half of the year is said to be a reflection of accelerating growth trends on the back of increased net payout volumes.
With the Coronavirus pandemic variants posing additional economic pressures on regional markets, along with intermittent access and dissemination of vaccines, Letshego says it is committed to progressing its digitalisation strategy that enables flexibility, adaptability, and operational efficiencies while enhancing an effective risk management framework.
Profit after tax rose by 28 percent for the same comparative period.
Strong performance for the interim period is reported to have been driven by a 20 percent growth in net customer advances, totalling P11.1 billion.
With the onset of a ‘third wave’ of Covid-19 in many sub-Saharan markets, Letshego says it continues to maintain a proactive stance in adjusting and evolving its Pandemic Response Plans and risk mitigation strategies to meet ever-changing economic environments.
