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NIPC grows profit by over 1000% to N2.32 billion in FY 2020

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NIPC grows profit by over 1000% to N2.32 billion in FY 2020

The Nigerian Investment Promotion Council (NIPC) has reported a surplus of N2.32 billion for the 2020 financial year, indicating a surge of about 1,632% when compared to the sum of N134.16 million recorded in the corresponding period of 2019.

This is according to the recent FY 202O financial result released on the council’s website .

Despite posting a relatively moderate gain of about 62.1% in its gross earnings (N3.83 billion), the agency printed a massive boost in its bottom line, largely due to its ability to manage costs and significantly reduce its expenditure during the period under review. The agency’s total expenditure hit a three year low of N1.51 billion during the period under review, compared to the N2.04 billion (2018 FY) and N2.2 billion (2019 FY).

In a bid to prudently manage costs, the agency through its recent financials revealed that “No salary and allowances were paid to the Governing Council outside and above the amount approved by the Revenue Mobilization Allocation and Fiscal Commission and the National Salaries, Incomes and Wages Commission.’’

Additionally, the agency also revealed that it did not sponsor any overseas training, welfare packages during the period under review, rather it opted for local travels and training for its staff. It also did not give any donation, gift or sponsorship and there was no cost of revenue collections by third parties during the period under review.

Highlights

Gross Income grew by 62% Year-on-Year from N2.37 billion recorded in FY 2019 to N3.83 billion in the period under review. Personnel costs declined by 9% Year-on-Year, from N1 billion in FY 2019 to N919.8 million.

Administrative costs declined from N753.2 million in FY 2019 to N292.38 million during the period under review, indicating a slip of about 61% Year-on-Year.

Establishment costs declined by 70% Year-on-Year, from N104.7 million in FY 2019 to N31.78 million during the period under review.

Surplus surged by 1,632% Year-on-Year, from N134.16 million in FY 2019 to N2.32 billion in the period under review.

With the exception of 2018, the recent surplus posted by the agency remains the highest in a five year streak.

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