(PR) The Honourable Prime Minister and Minister of Finance, Tuilaepa Sailele Malielegaoi, was presented with a cheque of $501,862.66 by Director of the Board of Directors of the Unit Trust of Samoa (Management) Limited, Tuliaupupu Pala Lima.
The cheque represents a dividend to Government from the Unit Trust of Samoa (Management) Ltd for its financial year ended 30 June 2015.
The Unit Trust of Samoa (Management) Company Limited (‘the Company’), the Government State Owned Enterprise tasked with the managing of the Unit Trust of Samoa (“UTOS”), is pleased to announce that it has declared a dividend payable of $501,862.66. This is the second time that the Company has paid a divided to the Government since it was established in February 2010.
This dividend declaration was made on the 17th June 2015 by its Board of Directors at its monthly Board Meeting, in accordance with clause 39 of the Company Rule. The Government of Samoa, being the sole shareholder of the Unit Trust of Samoa (Management) Company Limited is the beneficiary of this dividend. The dividend is based on the Government’s 50% of Net Profit After Tax Dividend Policy for its State Owned Enterprises.
This dividend declaration comes off an encouraging financial performance by ‘the Company’ for the year ended 30 June 2015 where it posted a Net Profit of $1,003,726. The dividend declared represents 50% of Net Profit in line with Government policy as provided for under section 28(3)(a) of the Public Bodies (Performance and Accountability) Act 2001.
The Management Company has continued to grow over the past five years. The total assets of the Company have reached $2.4 million. This is the second year that the Company has achieved a net profit compared to losses when it was first established. As at 30 June 2015, accumulated losses have reduced from $125,882 in the beginning of the financial year to $92,670 at the end of the financial year.
The Board of Directors and Management of ‘the Company’ are pleased to finally be in a position of being a net contributor to the Government’s budget, especially given this result comes after only five years of being established. They are also pleased that the financial performance of ‘the Company’ resulting in the dividend goes in some way to repaying the Government’s faith in establishing the “UTOS” concept as a means of providing the citizens of Samoa with another investment mechanism previously missing from the local financial sector.
The Company no longer receives budgetary support from the Government (capped at $1.8 m Tala as of 2013) as it is now self-sustaining and furthermore is now earning a positive Return on Equity as reflected in the dividend as declared.