C & I Leasing reports 75% growth in gross earnings

Maritime leasing company C and I Leasing has reported an impressive 75 per cent growth in its gross earnings, reaching ₦37 billion. The company also saw a significant rise in its lease rental income, which climbed to ₦20.4 billion. Lenin Ugoji, the Group Managing Director at C and I Leasing, recently discussed the company's financial performance in an interview with CNBC Africa. Ugoji highlighted the key factors that drove the top-line growth, particularly in the marine and fleet management businesses. Despite the strong top-line growth, the company faced challenges in its bottom line, with a 26% drop in profit after tax (PAT) to ₦728.7 million. Ugoji attributed this decline to back-duty taxes incurred during the year. However, he emphasized that with adjustments, significant progress was still made by C and I Leasing. Looking ahead, Ugoji expressed confidence in the business environment and outlined the company's strategy for the upcoming year. He expects continued growth, particularly in the marine industry, driven by renewed interest from international oil companies and regulatory support for asset acquisition. Additionally, Ugoji discussed the company's plan to explore high-end personal outsourcing as a new business avenue to capitalize on the evolving outsourcing industry in Nigeria. Despite facing challenges such as high interest rates and persistent tax impacts, Ugoji remains optimistic about the potential for growth in 2025. He believes that economic reforms and a more stable environment will support the company's future performance. The company's bond issuance plans are still in progress, with a focus on navigating the interest rate regime to minimize costs. Ugoji hinted at a potential equity mix to diversify funding sources and mitigate the impact of high interest expenses on the business. Overall, C and I Leasing's strong top-line growth demonstrates its resilience and strategic focus on expanding its core businesses while exploring new opportunities for growth.