Profiting through Obstacles
Dear co-operators,
I am delighted to address this great army of committed investors as we come to the close of yet another tenure and on the brink of the beginning of another administration which your noble selves will hand over the mandate to steer the rudder of this great and profitable cooperative society, the pool of our group resources for generational and transformational impact.
The year 2022 was not with its share of challenges being the year preceding the 2023 national elections which is arguably a most virile and significant transition in the recent history of our nation. The year also begin with uncertainty around the end of the COVID 19 Pandemic or the beginning of a more brutal wave of the pandemic.
In all of these, I am glad to let you know that the team of Executive Committee Members which you gave your mandate were a team of resolute individuals that exhibited unusual commitment to the growth and profitability of your hard earned savings, contributions and investments. Our deliberations were always centred on a profitable and sustainable course of action.
Profitability and sustainability, not only on economic indices but on other indices such as the welfare and wellbeing of our teeming members in the midst of the several economic and social pressures which the global socio-economic climate put on us all.
The Climate
This was the year that the number of Nigerians living in poverty rose by 35 million, inflation rate climaxing at 21% and unemployment rate cruised to 33% amidst the decline in oil production output leading to decline in government earnings forcing the government to resort to huge borrowings to fund consumption.
Being an electioneering year, the government was boxed into a corner in which it could not cut down on the cost of governance and also needed to make good on some of its promises to provide a positive electioneering climate for the ruling party.
As the saying goes, we are free to make our choices but we are not free to choose their consequences. So, we were in a place that the nation attempted to use monetary policies to escape the consequences of its fiscal decisions and these brought upon us all more dire consequences such as the naira falling close to N600 to the dollar in the parallel market, reduction of foreign investment, price instability and disruption of economic activities.
The Response and the Results – Our Achievements
As Jim Rohn postulates and I paraphrase, life is not about what is happening. Whatever happens happens to all. It rains on the poor and on the rich. It is our response that determines whether we come out on the good end or otherwise because life is mixture of opportunity with risks. We chose to come out with the goods at the end, irrespective of the obstacles.
1. Profitability
Our shareholders fund grew by 36%, while Members Contribution grew by 34% which we traded with generating an increase of 59% in our gross profits largely driven by earnings from real estate investments and loan interest income which accounted for 61% and 34% of our gross earnings respectively. Our net operating profit grew by 49% and our earnings per share increased by 29% when compared with 2021 performance with a membership strength of 111 active members, a 16% growth over the previous year, as at 31st December 2022
2. Secured External Funding for Real Estate Investments
We held tight to our ongoing lucrative real estate investments when it was threatened by funding and at the end, after journeying through a number of financial institutions in search of support, we were able to secure the funding required to maintain our hold on these real estate projects at very reasonable prices with respect to the premium location and thus crystalized the dreams of our members who desired to have highly treasured properties in highly treasured neighbourhoods.
3. Short Term Investment Scheme
While some other enterprises were caving in and throwing in the towel, we stepped out in faith and launched a short term investment scheme to raise funds to meet our short to medium term funding needs and these funds enabled us to lend more to support the growing lending appetite of our members.
Dividend
Upon approval by you at this AGM and in line with the provisions of the law guiding our operations, we hereby propose to pay out the sum of NGN36,953,207 which stands at credit of the general reserves.
Transition
We are at the verge of another transition and we are hopeful that it would be a hitch free and progressive one which would move the society to greater strides.
I want to seize this opportunity to thank you all, dear co-operators, for your uncommon and virile support over these two years, the repose of confidence was encouraging and highly commendable. I will forever treasure the support we as executives have received from you for many years to come and do charge that we extend the same and even greater support to the incoming administration.
Celebration
We also want to celebrate the fact that the Society is 10 Years this year. This dream which began with 13 forward thinking dreamers is today a growing and enviable entity in the committee of cooperative societies. We say a big kudos to the founders some of which are present here with us and some of which have retired. We also celebrate you all for joining in and making the dream bigger and better than our imaginations. Together let’s give 10 hearty cheers to ourselves as Group Resourcerians! Hurray!!!
Outlook
Support More Long Term Lending
Foreign Currency Denominated Investments
Group Resources Owned Real Estate
Closing
Finally, I want to assure you all that we are more profitable than we have ever been and the potentials are just in view are great. Let’s continue to dream and work together towards the realisation of this worthy dream.
Thank you for your time and attention.
Thank you for the opportunity to serve you.
Thank you for the support and encouragement as well as criticisms.
Thank you for the bond of fellowship as co-operators.
God bless Group Resources Management Cooperative Multipurpose Society!
God bless the Nigerian Agip Oil Company, the Nigerian Agip Exploration, the Nigerian Agip CPFA Limited!
God bless the Lagos State Ministry of Commerce and Cooperatives!
God bless Nigeria.
Yours in service
Bolofinde, Emmanuel MNIM
President
Group Resources Management Cooperative Multipurpose Society