Botswana Stock Exchange (BSE) quoted financial service group, Imara has attributed declining profit margins to vulnerability in the African capital markets that have not recovered from the global financial crisis.
The group however maintained optimism that improving annuity income will help it realise positive future returns. Revenue for the year ended 30 April 2010 fell 9% to P92 million in the year under review form P101 million recorded in 2009. Attributable earnings also dropped by a staggering 96% to P246 million. The group did not declare dividends and its five-year financial highlights indicate that the group has been realising a declining dividend yield.
However, despite unsatisfactory results, Imara has been able to contain operational expenses to P82 million, almost P200 000 lower than the same period last year. Shareholders wealth has grown by P8.64 million for the year under review.
The company is optimistic of future prospects. By close of business Wednesday the venture capital quoted company traded at 425 thebe per share.