Switching places: Centum drops in the red as AIB Capital turns back profits
Centum’s Nabo Capital made a Sh12.4 million loss for the half year ended June against the Sh11.3 million profit it made last year.
The wealth management firm made no money from consultancy and advisory services this year which reduced its incomes to Sh37 million from Sh91 million last year.
Related: Focus shifts to value of Centum assets as firm books 67 percent profit drop
It had to depend on interest income and fund management fees which were not enough to cushion the total expense of Sh45 million and a finance cost of Sh4.6 million.
Centum rebranded Nabo Capital unit as the listed firm seeks to give the subsidiary distinct identity and win a larger slice of the lucrative wealth management.
On the other side of the spectrum AIB Capital, the stock brokerage, and corporate finance services jumped back into profits posting Sh6.9 million from Sh3.3 million loss by June 2017.
The firm doubled its brokerage commissions and quadrupled its advisory fees and dividend income which helped it post Sh80 million total income from Sh51 million last year.
Expenses were also up from Sh53 million to Sh72 million.
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