Fijian Holdings Ltd (FHL), an investment conglomerate, has reported a group net profit before tax of $79.14 million for the financial year ending June 30, 2024, marking an 11 percent increase from last year’s $63.22 million. This positive performance is attributed to broad growth across its core subsidiaries in an extensive portfolio of both listed and unlisted blue-chip companies.
Key contributors to this success included South Sea Cruises, RB Patel, and Merchant Finance. FHL stated that South Sea Cruises achieved strong results due to continued growth in the tourism sector and record visitor arrivals. Additionally, the finance and retail sectors generated promising outcomes despite facing challenges like reduced consumer spending, inflation concerns, and labor disruptions.
Management has expressed caution, taking into account global political developments. The board remains vigilant, monitoring indicators such as global growth, inflation rates, geopolitical tensions, and cybersecurity issues. They also noted the potential impact of high interest rates if inflation remains uncontrolled.
FHL itself recorded a net profit before tax of $16.94 million, an increase from $13.02 million in the previous year. This growth was driven by higher dividends from its subsidiaries, including FHL Retailing, South Sea Cruises, and Merchant Finance.
Chairman Rokoseru Nabalarua commented that this year’s financial outcomes reaffirm the company’s strategic focus and priorities. He emphasized the importance of navigating the evolving economic landscape with caution and foresight while leveraging strengths and adapting to emerging trends to ensure future success.
The increase in the corporate income tax rate for SPX-listed companies impacted the returns from FHL’s investee companies, leading to a modest rise of $2.42 million in the group’s consolidated net profit after tax compared to last year.
As of June 30, 2024, FHL’s net assets reached $362.79 million, up from $323.30 million the previous year, reflecting the robust performance of the group’s portfolio. FHL shares are listed on the SPX restricted board and are available only to Itaukei individuals registered in the Vola-Ni-Kawa-Bula ethnic registry. FHL shares closed at 98 cents each at the time of reporting.