Another Solid Result for Social Investment Pioneer, Oikocredit

AMERSFOORT, The Netherlands, March 24, 2015 /PRNewswire/ --

Social investor and worldwide cooperative, Oikocredit, today announced another set of solid results for the full year ended 31 December 2014.

Result highlights include: 

• Net consolidated result after addition to funds of € 17.1 million, up 28%
• Development financing portfolio reached € 734.6 million, up 24%
• Disbursements up 10%, to € 337.9 million
• Net inflow of lendable funds up 1.4% to € 81.5 million
• Proposed 2% dividend
• € 1.9 million in capacity building engagements

With a portfolio of 805 partner organizations across 63 countries, Oikocredit continued its strategic investment focus on inclusive finance, agriculture and renewable energy in 2014. After a solid year, investors will share in Oikocredit's net result of € 17.1 million, with € 13.2 million proposed as dividend.

In 2014, Oikocredit grew its development financing portfolio to € 734.6 million, a rise of 24% from € 590.5 million in 2013. Loan approvals were at record levels, reaching € 383.8 million, up 29% from € 297.3 million in 2013 and disbursements increased 10% to € 337.9 million, up from € 306.1 million the previous year.

Oikocredit managing director, Mr David Woods, said the results were testament to a sound business model that balances social, environmental and financial goals. "In 2014 we were well positioned to diversify into new sectors as well as strengthen our operations which in turn lowered our risk profile," said Mr Woods. "Our investments in agriculture, particularly in Africa, and renewable energy, generated immediate results," Mr Woods said. "To provide our partner organizations with resources to responsibly grow their businesses, we also took a 'plus' approach to development financing," added Mr Woods.

In 2014, Oikocredit remained committed to providing social performance and support to partner organizations. Throughout the year, Oikocredit carried out over 189 capacity building engagements, totalling € 1.9 million.

Strong investor base 

In 2014, net inflow of lendable funds reached € 81.5 million, up 1.4% from 2013. Total investors grew to 53,000 from 52,000 in 2013, reaffirming Oikocredit's strong and loyal investor base. Over the last 40 years, Oikocredit has invested in 1,670 partner organizations, and disbursed over € 2.1 billion in development financing; with over half being disbursed in the last five years.

Outlook 

In 2015, Oikocredit will remain committed to growing a quality and diversified portfolio. Mr Woods said social performance would remain a priority, with a focus on impact studies to assess the long-term benefits of social financing, while staying true to our social mission. "The sustainable development landscape will continue to grow and change, and we will change with it," said Mr Woods. "In the next five years we see ourselves as being the most socially responsible impact investor in the world, with a true mix of social, environmental and financial goals," added Mr Woods.

Oikocredit is a worldwide cooperative and social investor, providing funding to the microfinance sector, fair trade organizations, cooperatives and small to medium enterprises.