(Alliance News) - Georgia Capital PLC on Monday reported a rise in net asset value during 2022, boosted by Georgia's burgeoning economy.
The Tbilisi, Georgia-based investor in businesses in Georgia said net asset value as at December 31 grew 4.0% to GEL65.56, around GBP20.92, from GEL63.03 a year prior. The bank said that NAV per share in GBP during the same time rose 33% to GBP20.12 from GBP15.10.
It explained that the "record-high" NAV in GEL was due to Bank of Georgia PLC's share price jumping 31% in the fourth quarter from the third. Bank of Georgia on Thursday reported that its pretax profit in 2022 jumped 55% to GEL1.24 billion from GEL801.9 million, as it cited a net foreign currency gain and a boost from inbound migration. Georgia neighbours Russia, from where at least 260,000 military-aged men have fled to Georgia following Russia's invasion of Ukraine in February 2022, Time reported in September.
Georgia Capital further noted that its results were "supported by the resilience of the Georgian economy, notwithstanding challenging market conditions and the geopolitical backdrop created by the regional conflict."
However, the bank turned to a pretax loss of GEL12.2 million from a profit of GEL692.9 million in 2021, as gains on investments at fair value plummeted to GEL925,000 from GEL689.8 million. Georgia Capital did not explain the drop.
Looking ahead, Chair & Chief Executive Officer Irakli Gilauri said: "I believe that Georgia Capital is extremely well positioned to deliver consistent NAV per share growth over the medium to long term, while also continuing to make significant progress on our key strategic priorities."
Georgia Capital shares were 1.0% higher at 814.68 pence each in London on Monday morning.
By Tom Budszus, Alliance News reporter
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Georgia Capital (CGEO)
Bank Of Georgia Group (BGEO)