The improvement was driven mostly by a new investment that was acquired in exchange for the issue of the company’s shares, said the small business finance specialist.
Portfolio income increased by over 500% year-on-year to US$2.2mln (GBP1.7mln), the AIM-listed group added, due to the continued repositioning of its portfolio, a trend that is expected to continue in 2020.
Net loss reduced by 21% year-on-year to US$2.8mln driven largely by a significant increase in portfolio income, which offset operational costs of the business. Net asset value per share in 2019 fell by 16% to US$0.95.
In the current year to date, Adamas said that while the coronavirus (COVID-19) pandemic continues to create global uncertainty, the company remains relatively well-positioned given its resilient and diversified portfolio of pan-Asian investments and strong liquidity position.
In the group’s full-year results statement, Adamas chairman John Croft said: “The Board expects the Company’s investment portfolio in 2020, from a valuation perspective, to avoid any material impact from COVID-19.”
“Many of the countries in which our portfolio companies operate, including China and Hong Kong, are exhibiting early signs of recovery with the gradual lifting of lock-down measures.
“Moreover, most Asian countries are benefiting from the experience gained from previous pandemics in the region.
Adamas is also seeing an increasing number of attractive investment opportunities partly driven by the global impact of COVID-19, said Croft.
“ADAM is one of very few institutional sources of capital for this sector in the region and we are already seeing a very significant increase in pipeline opportunities as a result.”
Published at Mon, 18 May 2020 06:51:00 +0000-Adamas Finance Asia Limited’s net asset value rises by 8% year-on-year