The Botswana Development Corporation (BDC), the government investment arm, declared a dividend of P39 million for the year ended 30 June2011.
Despite its late publishing of results, BDC said the results were comparatively better than the previous year. The company had difficulty explaining why the results were only coming now when in normal times they should have come in 2011.
The spokesman for BDC, Gomolemo Zimona, said the company was beset by problems and that is why the results had come so late into 2012.
“You will remember that the company was beset with problems, that is why we are late with the results, but you should appreciate they are better than the previous year,” said Zimona.
However, a look at the results does not reflect what the government investment arm would want the public to comprehend. Profit for the year fell from P185 million to P65 million. Total revenue also fell from P287 million to P267 million.
The company says the group turnover compares well with the previous year due to the challenges associated with global economic downturn. The highlight of the year was the establishment of their property fund company, Letlole La Rona (LLR) resulting in the company receiving a sizeable dividend from those property companies.
BDC had a board composition problem that painted the company in bad light as some directors were dropped or voluntarily resigned from the company and a new board had to be reconstituted. Allegations of corruption also reared their ugly head at some of the subsidiary companies that that company has substantial investments in.
Looking forward, the company said despite the prevailing economic challenges the company endeavours to ensure that there is growth and profitability both in investments and the business in general.