Motor Vehicle Insurance Limited (MVIL) paid K42.1 million in dividend to Kumul Consolidated Holdings (KCH) for the financial year ending 31 December 2020.
Despite the impact of the COVID-19 pandemic, MVIL was able to pay 67% of the budgeted dividend of K63.2m.
When presenting the figures, MVIL Managing Director Mr. Michael Makap said the pandemic derailed the company from its strategic direction resulting in a low turnover compared to 2019.
In 2019, MVIL achieved budget with an after tax profit of K109.8m compared to budget of K74.0m and paid total dividend of K70.0m inclusive of the K20.0m support to Air Niugini.
“Last year, is a little low because of the COVID-19 situation that hit us so bad. We had to close the entity for almost two months. And that brought us a lot of loss revenue,” Mr Makap said.
He was appreciative of KCH’s support to MVIL and also thanked Minister for State Enterprises Hon. William Duma for his wisdom and guidance.
The MVIL Board Chairman Eno Daera gave his assurance to KCH and the Minister that the company will continue to pay dividends, saying that “we will do it (pay dividends) every year and without fail, we will do it next year”.