Transformation

Our Transformation plan was officialised as from July 1, 2017 and we are now seeing signs of an “early harvest” as we had already worked the business plans and ecosystem well in advance – for nearly a year now. The transformation plan is not a goal, nor a journey but an Integrated Thinking that is embedded in our DNA. We have now ensured that our Vision, Values, Risk Management and five capitals are well connected and reflect on our way forward through our subsidiaries as follows:

• InfoSystems: Consolidating our Information Technology operations to offer end-to-end cost-effective solutions in the different markets where we operate, from IT Infrastructure to Software Development to Datacom/InfoSec.
• NanoBNK: Our RegTech/ Fintech start-up focuses on Digital Banking to facilitate the Financial Access/Inclusion by making transactions cheaper, faster and safer through the use of Open Source emerging technologies such as Blockchain, Artificial Intelligence, Big Data.
• DigiConsult: Our Mechanical & Electrical Engineering, Technology [IIoT, ICT] Consultancy firm is providing much needed consulting services to major operators within the Hotel, Office, Malls and Smart City sectors.
• Ventures: In addition to High Value Training, Ventures is also responsible for investments in platforms such as Smart City, EdTech and MedTech.

Transition Period

Revenue is up, our profit is stable as well as our PAT efficiency. As a company, we have underperformed a number of KPIs this financial year mostly due to economic uncertainties in our main markets.

Net profit amounted to MUR 18 million in FY2017 while Group revenue reached MUR 272 million in FY2017, an increase of 24% from last financial year, driven mainly by a robust performance in our Information Technology and Telecom businesses. Our PAT as a percentage of revenue (on continuing operations) was 5%, in line with our target, despite:

• Investments in high value consulting in areas of Fintech/ Regtech and Smart City
• Disinvestment from our profitable but non-core trading businesses
• Closing down of our lossmaking offices in Madagascar, Rwanda, and Zimbabwe
• Delays in securing some contracts before the end of the financial year in Zambia

In this context, regional expansion and investment in emerging technologies [such as Artificial Intelligence, Blockchain and Big Data Analytics] continue to be a priority during this transition period whereby the new subsidiaries and services are capitalising on the tremendous work delivered by our Information Technology people during those last ten years, which has helped to build the reputation of the company.

Our Brand Evolution

Our Social Responsibility

We continue to assist nongovernmental organisations working with orphans or disadvantaged children around the country. We have thus given our support to

(i) Century Welfare Association which runs a special educational needs school for children with disabilities;

(ii) Child Evangelism Fellowship which provides academic and character building classes as well as organises music and sports activities for children at Karo Kaliptis and Cité Hibiscus; and

(iii) ANFEN which promotes non-formal education for out-of-school adolescents in a network of 20 centres.

Looking Forward

We remain very confident and excited about the years to come:

• We continue to run strong profitability – three years in a row, in addition to having one of the strongest balance sheets in the industry.
• While we were not expecting operational profits in our new subsidiaries, we are receiving signs of “Early Harvests”, with our Business and Product development teams expecting deployment as early as December 2017.
• The closing down of our operations in Zimbabwe, Rwanda and Madagascar have not only stopped losses in these operations but allowed us to focus on growing our share of business in Zambia and Djibouti.

The medium-term which will see us through to June 2019 remains a very critical one as is any period of transition. While we continue to push forward on our Transformation agenda, we remain very watchful of any disruption that might affect the Group.

As I leave the leadership position in the able hands of the CEOs of the subsidiaries and Liliane Li Chiu Lim, our former CFO who has joined the holding company [which is now an investment company], I will be taking up the Interim CEO position of NanoBNK while remaining as director on the Boards of all the subsidiaries. Although we were not an employer of choice at the beginning of this adventure especially for the young engineers, the Anglo African culture made it possible for some of them to reach senior positions, not only within the company, but also with local and global technology firms, which gives me a great sense of satisfaction!

Finally, I would like to thank all our people and our customers for their support during the last ten years that have resulted in Anglo African becoming a leading player in the Technology space in this region. I would also like to thank the Chairman and Members of the Board of Directors for their continued support, guidance and advice.