VCI Global Limited (NASDAQ: VCIG) (“VCI Global”, “VCIG”, or the
“Company”), a diversified holding company focusing on consulting
and technology, is proud to announce its audited financial results
for the financial year ended December 31, 2023 (the “Financial
Results”).
- VCI Global
delivered a record high total revenue of $19.8 million for fiscal
year 2023, representing a 145% YoY growth.
- Gross profit
achieved significant growth of 159% YoY, reaching $16.4 million in
fiscal year 2023.
- Net income
reached $7.2 million in fiscal year 2023, achieved remarkable
growth of 57%.
- VCI Global
executed several major achievements that have led to a surge in
revenue by expanding VCIG’s capital market consultancy and
technology ventures.
- VCIG’s business
strategy consultancy revenue surged by 265% yearly to $14.7 million
in 2023, highlighting the potential of this industry.
- Additionally,
VCIG demonstrates sustainable growth with a 13% revenue increase to
$4.5 million in highly scalable technology development, solutions,
and consultancy segment for fiscal year 2023, supported by a robust
gross profit margin of 94%.
“We are excited to announce the exceptional
financial performance, characterized by substantial growth in both
revenue and profit. Our success underscores our steadfast
commitment to excellence and the collective efforts of our
dedicated team, as well as the strength of our business model and
strategic initiatives on capital market consulting and technology
business. As we look ahead, we remain focused on sustaining this
momentum, delivering sustainable value to our shareholders, and
making meaningful contributions to the communities we serve,” said
Dato’ Victor Hoo, Group Executive Chairman and Chief Executive
Officer of VCI Global.
FINANCIAL RESULTS
Revenue was $19.8 million for fiscal year 2023,
representing an increase of 145% YoY from $8.1 million for fiscal
year 2022. The increase in revenues was primarily attributable to
higher demand across all of our business segments.
- VCIG’s revenue generated from
business strategy consultancy fee increased by 265% to $14.7
million for fiscal year 2023, compared to $4.0 million for fiscal
year 2022. The increase was primarily a result of the IPO services
provided to 4 clients from Malaysia and Singapore. Notably, YY
Group Holding Limited was successfully listed on the Nasdaq Capital
Market on April 22, 2024, under the symbol “YYGH”. VCIG’s other
clients are currently undergoing the process of going public on
Nasdaq, further enhancing its reputation in this attractive
market.
- The company’s revenue generated
from technology development, solutions and consultancy increased by
13% to $4.5 million for fiscal year 2023, compared to $4.0 million
for fiscal year 2022. This increase was primarily the result of
completing two major projects: the development of a financing
management system and an e-commerce platform, both provided to the
Fintech industry.
- VCIG’s revenue generated from other
services increased over six-fold to $0.7 million for fiscal year
2023, compared to $87 thousand for fiscal year 2022. In fiscal year
2023, the Company introduced a new service – financing service,
which contributed revenue of $413 thousand.
|
For the Fiscal Year Ended December 31 |
|
|
2023 |
|
2022 |
|
Change |
|
|
USD |
|
USD |
|
% |
|
Revenue from Business Strategy
Consultancy |
14,654,120 |
|
4,016,231 |
|
264.9 |
% |
Revenue from Technology
Development, Solutions and Consultancy |
4,472,559 |
|
3,976,195 |
|
12.5 |
% |
Interest Income |
413,354 |
|
- |
|
100.0 |
% |
Others |
244,715 |
|
87,047 |
|
181.1 |
% |
Total Revenue |
19,784,748 |
|
8,079,473 |
|
144.9 |
% |
|
|
|
|
|
|
|
Other Income for fiscal year 2023 was $164
thousand, representing a decrease of 58%, compared to $393 thousand
in fiscal year 2022.
EBITDA of $7.3 million in fiscal year 2023,
reflecting a 37% margin of revenue, with a substantial increase of
125%, compared to $3.2 million in fiscal year 2022. This surge was
primarily driven by heightened operating income.
Net Income for the fiscal year 2023 amounted to
$7.2 million, representing a margin of revenue of 37% and a notable
increase of 57%, compared to $4.6 million in fiscal year 2022.
Cost of Services was $3.4 million for the
financial year ended December 31, 2023, representing a 93% increase
from $1.7 million for the financial year ended December 31,
2022.
- Consultant fee costs increased by
464% to $2.4 million for the financial year ended December 31,
2023, compared to $428 thousand for the financial year ended
December 31, 2022. This significant increase was primarily due to
more on-going IPO projects and the increase in their consultancy
fees, driven by the Company’s engagement of more professionals
including legal counsel, auditors, financial consultants, and US
Capital Market consultants to serve its clients. Such consultant
fee payment, included and treated as part of our consultation
services to our clients during the IPO process.
- IT expenses decreased by 82% to
$239 thousand for the financial year ended December 31, 2023,
compared to $1.3 million for the financial year ended December 31,
2022. This significant reduction resulted from the expansion of the
Company’s in-house IT team and the development and direct
deployment of most IT projects to customers.
- Subscription fee was $31 thousand
for the financial year ended December 31, 2023, compared to $3.2
thousand for the financial year ended December 31, 2022, due to an
additional subscription to a service provider which provides media
monitoring, analytics and insight solutions.
- Other cost of services increased by
$661 thousand from $7 thousand in fiscal year 2022 to $669 thousand
in fiscal year 2023. This increase was mainly due to the referral
fees paid ($552 thousand) for introducing new projects for the
consulting services.
|
2023 |
|
2022 |
|
Change |
|
|
USD |
|
USD |
|
% |
|
Consultant Fee |
2,413,237 |
|
428,122 |
|
463.7 |
% |
IT Expenses |
239,426 |
|
1,300,252 |
|
-81.6 |
% |
Subscription Fee |
30,720 |
|
3,208 |
|
857.5 |
% |
Referral Fee |
552,263 |
|
- |
|
100.0 |
% |
Others |
116,503 |
|
7,404 |
|
1,473.4 |
% |
Total |
3,352,149 |
|
1,738,986 |
|
92.8 |
% |
|
|
|
|
|
|
|
Depreciation expenses was $162 thousand in
fiscal year 2023, representing an increase of 52%, compared to $106
thousand in fiscal year 2022. The increase was primarily due to
additional asset acquired, including renovations for the newly
leased offices and campus, as well as purchases of computer
software and office equipment.
Directors’ fees increased by $1.2 million to
$1.3 million for the financial year ended December 31, 2023,
compared to $44 thousand for the financial year ended December 31,
2022. This increase was due to the increased in the number of
Directors employed and their expanded responsibilities and duties
toward the group after the successful IPO exercise on Nasdaq in
April 2023.
Operating Income increased to $7.1 million in
fiscal year 2023, reflecting a significant increase of 128%
compared to $3.1 million in fiscal year 2022. This notable increase
was primarily driven by the rise in revenue from Business Strategy
Consultancy, resulting in a 265% increase due to the completion or
near-completion of multiple IPO projects in fiscal year 2023.
Furthermore, revenue from Technology Development, Solutions and
Consultancy witnessed an increase of 13% attributed to the
completion of two major projects, namely fintech solutions and
e-commerce platform, alongside the addition of interest income
derived from microfinancing activities.
As a result of the above, profit for the period
was $7.2 million for the financial year ended December 31, 2023,
compared to $4.6 million for the financial year ended December 31,
2022.
Basic and Diluted earnings per share was $0.21
for the financial year ended December 31, 2023, compared to $0.13
for the financial year ended December 31, 2022, reflecting an
increase of $0.08, or 62%.
CASH POSITION AND CAPITAL ALLOCATION
Net cash generated from operating activities was
$1.2 million in fiscal year 2023, a significant increase of $1.5
million, from -$0.3 million in fiscal year 2022, driven by a robust
profit before tax of $7.1 million. This figure was adjusted for
non-cash items and changes in operating assets and liabilities,
mainly due to the increase in trade and other receivables of $0.1
million and increase in trade and other payables of $3.7
million.
Net cash used in investing activities was -$4.0
million as of December 31, 2023, significantly decreasing from $256
thousand as of December 31, 2022. This decrease was attributable to
VCIG’s investment in GlobexUS Holdings Corp., YY Group Holding
Limited, and Sagtec Global Limited. Additionally, VCIG acquired
property and equipment totalled $0.4 million.
Net cash generated from financing activities
amounted to $3 million in fiscal year 2023, representing an
increase of $2.7 million from $247 thousand in fiscal year 2022.
The increase is mainly due to the advance payments to related
parties and dividend payment of $0.5 million and $104 thousand
respectively, as well as repayment of operating lease of $82
thousand.
Cash and cash equivalents were recorded at $1.0
million as of December 31, 2023, representing a slight increase of
11 %, compared to the $0.9 million as of December 31, 2022. The
amount includes cash on hand, general bank balances and cash in
share trading accounts. Of the $1 million, $0.7 million is
denominated in Ringgit Malaysia, while the rest is held in other
currencies.
About VCI Global Limited
VCI Global is a diversified holding company.
Through its subsidiaries, it focuses on consulting, fintech, AI,
robotics, cybersecurity, and gamification. Based in Kuala Lumpur,
Malaysia, our main operations are centered in Asia, with
significant visibility across Asia Pacific, the United States,
Europe, and the Middle East. VCIG primarily offers consulting
services in capital markets, real estate, AI, and technology. In
technology businesses, the company operates a proprietary financing
platform that serves companies and individuals, as well as a
secured messaging platform serving governments and organizations.
We also invest, incubate, accelerate, and commercialize businesses
and technologies in AI, robotics, and gamification.
For more information on the Company, please log
on to https://v-capital.co/.
Cautionary Note Regarding Forward-Looking
Statements
This press release contains forward-looking
statements that are subject to various risks and uncertainties.
Such statements include statements regarding the Company’s ability
to grow its business and other statements that are not historical
facts, including statements which may be accompanied by the words
“intends,” “may,” “will,” “plans,” “expects,” “anticipates,”
“projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,”
“potential” or similar words. Actual results could differ
materially from those described in these forward-looking statements
due to certain factors, including without limitation, the Company’s
ability to achieve profitable operations, customer acceptance of
new products, the effects of the spread of Coronavirus (COVID-19)
and future measures taken by authorities in the countries wherein
the Company has supply chain partners, the demand for the Company’s
products and the Company’s customers’ economic condition, the
impact of competitive products and pricing, successfully managing
and, general economic conditions and other risk factors detailed in
the Company’s filings with the United States Securities and
Exchange Commission (SEC). The forward-looking statements contained
in this press release are made as of the date of this press
release, and the Company does not undertake any responsibility to
update the forward-looking statements in this release, except in
accordance with applicable law.
CONTACT INFORMATION:
For media queries, please contact:
VCI Global Limitedenquiries@v-capital.co
Financial Tables
|
VCI Global Limited and Its SubsidiariesConsolidated Statements of
Financial PositionAs of December 31, 2022 and 2023 |
|
|
|
|
|
|
|
December 31,2023 |
|
December 31,2022 |
|
USD |
|
USD |
ASSETS |
|
|
|
|
|
|
|
|
|
|
|
Non-current assets |
|
|
|
|
|
Financial assets measured at
fair value through other comprehensive income |
8,360,497 |
|
|
2,911,924 |
|
Financial assets, at fair
value through profit and loss |
15,861 |
|
|
16,421 |
|
Property and equipment |
696,865 |
|
|
352,431 |
|
Right-of-use assets |
262,337 |
|
|
162,213 |
|
Intangible assets |
1,024,316 |
|
|
- |
|
Deferred initial public
offering expense |
- |
|
|
1,491,008 |
|
Loan receivables |
4,619,070 |
|
|
- |
|
Deferred tax assets |
74,009 |
|
|
77,149 |
|
Total non-current assets |
15,052,955 |
|
|
5,011,146 |
|
|
|
|
|
|
|
Current assets |
|
|
|
|
|
Trade and other
receivables |
6,308,063 |
|
|
3,579,678 |
|
Loan receivables |
3,350,889 |
|
|
- |
|
Amount due from related
parties |
- |
|
|
1,590 |
|
Cash and bank balances |
1,010,455 |
|
|
907,665 |
|
Total current assets |
10,669,407 |
|
|
4,488,933 |
|
|
|
|
|
|
|
Total assets |
25,722,362 |
|
|
9,500,079 |
|
|
|
|
|
|
|
LIABILITIES AND EQUITY |
|
|
|
|
|
|
|
|
|
|
|
Current liabilities |
|
|
|
|
|
Trade and other payables |
4,223,722 |
|
|
2,364,184 |
|
Warrant liabilities |
428,025 |
|
|
- |
|
Lease liabilities |
154,788 |
|
|
73,188 |
|
Bank and other borrowings |
147,577 |
|
|
177,977 |
|
Income tax payable |
54,739 |
|
|
389,959 |
|
Total current liabilities |
5,008,851 |
|
|
3,005,308 |
|
|
|
|
|
|
|
Non-current liabilities |
|
|
|
|
|
Lease liabilities |
118,749 |
|
|
96,025 |
|
Bank and other borrowings |
53,455 |
|
|
70,263 |
|
Amount due to related
parties |
283,346 |
|
|
814,684 |
|
Total non-current
liabilities |
455,550 |
|
|
980,972 |
|
|
|
|
|
|
|
Total liabilities |
5,464,401 |
|
|
3,986,280 |
|
|
|
|
|
|
|
|
VCI Global Limited and Its SubsidiariesConsolidated Statements of
Financial PositionAs of December 31, 2022 and 2023 |
|
|
|
|
|
December 31,2023 |
|
December 31,2022 |
|
USD |
|
USD |
Capital and reserves |
|
|
|
Share capital |
9,589,508 |
|
|
2,981,812 |
|
Capital reserve |
1,423,433 |
|
|
1,483,830 |
|
Fair value reserve |
365,389 |
|
|
1,458,435 |
|
Translation reserves |
587,526 |
|
|
- |
|
(Accumulated losses)/Retained
earnings |
9,183,823 |
|
|
(37,458 |
) |
Attributable to equity owners
of the Company |
21,149,679 |
|
|
5,886,619 |
|
Non-controlling interests |
(891,718 |
) |
|
(372,816 |
) |
Total equity |
20,257,961 |
|
|
5,513,803 |
|
|
|
|
|
Total liabilities and
equity |
25,722,362 |
|
|
9,500,083 |
|
|
|
|
|
|
|
|
VCI Global Limited and Its SubsidiariesConsolidated Statements of
Profit or Loss and Other Comprehensive Income/(Loss)For The Years
Ended December 31, 2022 and 2023 |
|
|
|
|
|
December 31,2023 |
|
December 31,2022 |
|
USD |
|
USD |
Revenue |
19,519,687 |
|
|
7,783,170 |
|
Revenue - related party |
265,061 |
|
|
296,304 |
|
Total revenue |
19,784,748 |
|
|
8,079,474 |
|
|
|
|
|
Other income |
163,914 |
|
|
393,491 |
|
|
|
|
|
Cost of services |
(3,352,149 |
) |
|
(1,738,987 |
) |
|
|
|
|
Depreciation |
(161,887 |
) |
|
(106,216 |
) |
|
|
|
|
Directors’ fees |
(1,289,836 |
) |
|
(43,839 |
) |
|
|
|
|
Employee benefit expense |
(4,107,647 |
) |
|
(2,361,216 |
) |
|
|
|
|
Impairment allowance on trade
and loan receivables |
(224,260 |
) |
|
(77,780 |
) |
|
|
|
|
Rental expenses |
(50,570 |
) |
|
(58,431 |
) |
|
|
|
|
Legal and professional
fees |
(1,386,774 |
) |
|
(41,165 |
) |
|
|
|
|
Finance cost |
(20,175 |
) |
|
(11,608 |
) |
|
|
|
|
Other operating expenses |
(2,252,878 |
) |
|
(916,405 |
) |
|
|
|
|
Profit before income tax |
7,102,486 |
|
|
3,117,318 |
|
|
|
|
|
Income tax expense |
135,031 |
|
|
1,497,100 |
|
|
|
|
|
Profit for the year |
7,237,517 |
|
|
4,614,418 |
|
|
|
|
|
Other comprehensive
income/(loss):Items that will not be reclassified subsequently to
profit or loss: |
|
|
|
Fair value adjustment on
financial assets, at fair value through other comprehensive
income |
518,288 |
|
|
(4,861,359 |
) |
Items that may be reclassified
subsequently to profit or loss: |
|
|
|
Exchange differences on
translating foreign operation |
587,526 |
|
|
- |
|
Other comprehensive
income/(loss) |
1,105,814 |
|
|
(4,861,359 |
) |
|
|
|
|
Total comprehensive
income/(loss) for the year |
8,343,331 |
|
|
(246,941 |
) |
|
|
|
|
|
VCI Global Limited and Its SubsidiariesConsolidated Statements of
Profit or Loss and Other Comprehensive Income/(Loss)For The Years
Ended December 31, 2022 and 2023 |
|
|
|
|
|
December 31,2023 |
|
December 31,2022 |
Total comprehensive
income/(loss) attributable to: |
|
|
|
Equity owners of the Company |
8,877,407 |
|
|
41,547 |
|
Non-controlling interests |
(534,076 |
) |
|
(288,487 |
) |
Total |
8,343,331 |
|
|
(246,940 |
) |
|
|
|
|
|
|
|
VCI Global Limited and Its SubsidiariesConsolidated Statements of
Cash FlowsFor The Years Ended December 31, 2022 and 2023 |
|
|
|
|
|
December 31,2023 |
|
December 31,2022 |
|
USD |
|
USD |
Operating activities |
|
|
|
Profit before income tax |
7,102,486 |
|
|
3,117,318 |
|
Adjustments for: |
|
|
|
Allowance for expected credit
losses on trade receivables |
164,943 |
|
|
77,780 |
|
Allowance for expected credit
losses on loan receivables |
59,317 |
|
|
- |
|
Impairment of goodwill on
consolidation |
- |
|
|
- |
|
Bad debt written off |
177,410 |
|
|
- |
|
Share-based compensation
awards |
970,024 |
|
|
- |
|
Preliminary expense written
off |
- |
|
|
- |
|
Property and equipment written
off |
- |
|
|
3 |
|
Depreciation of property and
equipment |
69,315 |
|
|
52,145 |
|
Depreciation of right-of-use
assets |
92,571 |
|
|
54,071 |
|
Gain on disposal of financial
assets, at fair value through profit and loss |
- |
|
|
(350,301 |
) |
Gain on disposal of property
and equipment |
- |
|
|
(1,477 |
) |
Loss on disposal of property
and equipment |
- |
|
|
6,648 |
|
Interest expense |
19,787 |
|
|
11,432 |
|
Interest income |
(1,596 |
) |
|
(11 |
) |
Operating cash flows
before movements in working capital |
8,654,257 |
|
|
2,967,608 |
|
|
|
|
|
Trade and other receivables |
(3,119,228 |
) |
|
(3,251,783 |
) |
Loan receivables |
(8,029,277 |
) |
|
- |
|
Trade and other payables |
3,829,793 |
|
|
157,905 |
|
Contract liabilities |
- |
|
|
(113,572 |
) |
Deferred revenue |
- |
|
|
(70,487 |
) |
Cash generated from/(used in)
operations |
1,335,545 |
|
|
(310,329 |
) |
|
|
|
|
Income tax (paid)/refund |
(184,317 |
) |
|
5,226 |
|
Net cash from/(used in)
operating activities |
1,151,228 |
|
|
(305,103 |
) |
|
|
|
|
Investing activities |
|
|
|
Acquisition of property and
equipment |
(433,922 |
) |
|
(379,092 |
) |
Proceeds from disposal of
property and equipment |
- |
|
|
3,988 |
|
Acquisition of intangible
assets |
(24,316 |
) |
|
- |
|
Interest received |
1,596 |
|
|
11 |
|
Acquisition of financial
assets, at fair value through other comprehensive income |
(9,494,041 |
) |
|
- |
|
Proceeds from disposal of
financial assets, at fair value through other comprehensive
income |
5,975,424 |
|
|
- |
|
Proceeds from disposal of
financial assets, at fair value through profit and loss |
- |
|
|
633,560 |
|
Purchase of financial assets,
at fair value through profit and loss |
- |
|
|
(2,319 |
) |
Acquisition of
subsidiaries |
- |
|
|
- |
|
Net cash (used in)/from
investing activities |
(3,975,259 |
) |
|
256,148 |
|
|
|
|
|
|
|
|
VCI Global Limited and Its SubsidiariesConsolidated Statements of
Cash FlowsFor The Years Ended December 31, 2022 and 2023 |
|
|
|
|
|
For the Year Ended December 31, 2023 |
|
For the Year Ended December 31, 2022 |
|
USD |
|
USD |
Financing activities |
|
|
|
Proceeds from issuance of shares |
- |
|
|
2,931,840 |
|
Repayment of other
borrowings |
(10,829 |
) |
|
(4,295 |
) |
Proceeds from bank
borrowings |
- |
|
|
- |
|
Repayment of bank
borrowings |
(26,273 |
) |
|
(22,535 |
) |
Interest paid |
(19,787 |
) |
|
(11,432 |
) |
Proceeds from initial public
offering |
3,804,044 |
|
|
- |
|
Payment for deferred initial
public expense |
(99,535 |
) |
|
(131,158 |
) |
Repayment of operating
leases |
(81,867 |
) |
|
(47,071 |
) |
Advances made to related
parties |
(498,178 |
) |
|
(2,468,087 |
) |
Dividend paid |
(103,809 |
) |
|
- |
|
Contribution from
non-controlling interests |
- |
|
|
- |
|
Net cash (used in)/from
financing activities |
2,963,766 |
|
|
247,262 |
|
|
|
|
|
Net increase in cash and cash
equivalents |
139,735 |
|
|
198,307 |
|
Cash and bank balances at
beginning of year |
870,720 |
|
|
709,358 |
|
Cash and bank balances at end
of year |
1,010,455 |
|
|
907,665 |
|
|
|
|
|
NON-CASH FINANCING
ACTIVITIES: |
|
|
|
Constructive dividends
paid |
- |
|
|
1,569,336 |
|
|
|
|
|
VCI Global (NASDAQ:VCIG)
Gráfica de Acción Histórica
De Abr 2024 a May 2024
VCI Global (NASDAQ:VCIG)
Gráfica de Acción Histórica
De May 2023 a May 2024