On Friday 18th May, Cytonn Investments Management Plc (Cytonn), held their combined Annual General Meeting, for Shareholders in the Cytonn Group, and Investment Partners in Cytonn Cash Management Solutions, with over 300 Shareholders and Investment Partners in attendance.
During the AGM, Cytonn released their FY’2017 audited financial results, delivering impressive results, with profitability growing by 276.7% to Kshs 398.0 mn in 2017 from Kshs 105.7 mn in 2016. Balance sheet growth was also robust, with total assets growing by 49.4%, to Kshs 17.7 bn as at 31st December 2017 from Kshs 11.8 bn as at 31st December 2016.
Profitability was driven by strong revenue growth arising from projects construction progress and the realization of gains from investments in the stock market, while growth in total assets was driven by (i) strong growth in the real estate projects under mandate, (ii) investments in financial services through our quoted Private Equity Investments, and (iii) growth in real estate sales and product uptake.
Edwin H. Dande, Cytonn’s Chief Executive Officer, addressing Shareholders and Investment Partners during the AGM.
Speaking at the AGM, Edwin H. Dande, Cytonn’s Chief Executive Officer, started off by introducing the Cytonn Management Team, stating that “All great things are done in teams”. “The financial year 2017 was characterized by a tough economic environment for businesses in Kenya. However, with our commitment to deliver attractive returns to all stakeholders, we saw this as an opportunity to invest in our growth while the rest of the market was distracted and businesses were on a slow. The investments made by the firm can be bucketed into three key areas: first was the continued investment in our ongoing projects, and the acquisition of assets at attractive valuations, in both real estate and financial services” added Edwin.
The Board Chairman of Cytonn, Professor Daniel Mugendi, making his remarks at the AGM.
In his remarks at the AGM, Prof. Daniel Mugendi, Chairman of the Board of Directors of Cytonn, recognised all the Board Members, Shareholders and Investment Partners, and thanked them for their support, while stressing the importance of sound corporate governance principles. "We continue to build a strong track record led by a prudent business strategy and a strong corporate governance structure. The Group has remained on course with its strategy of providing financial solutions with above average returns, while positioning itself as a market leader in the real estate industry by working to deliver aspirational real estate products in all segments of the market.” said Prof. Mugendi. “So as to ensure that we are focused on the clients’ interests, we have put in place proper governance structures, with a Board of Directors consisting of members from diverse backgrounds, each bringing in unique skill-sets to the firm” added Prof. Mugendi.
Also speaking at the event, Mr. Shaka Kwach, Chairman of the Advisory Board of Cytonn Cash Management Solutions, noted the importance of good corporate governance. “It is now one year since our election to serve you as members of the Cytonn CMS Board. Over this year, we have seen enhanced synergy between the Board and the Principal Partner’s team that has led to tremendous growth in the assets of Cytonn CMS. We continue to engage with the Principal Partner through quarterly board meetings and the monthly reports we receive” said Shaka.
Members following the proceedings of the Annual General Meeting