Mineral & Financial Investments Ltd on Friday said its profit declined in its recent financial year, as expenses increased.

The Cayman Island-based investment company recorded a 9.8% decline in its pretax profit to £899,000 in the financial year that ended June 30, from £997,000 a year before. This is due to higher administrative costs.

The company said its higher administrative costs include the issuance of equity incentives, and a £51,000 increase in legal fees due to ‘extraordinary’ legal costs from an unsuccessful financing attempt by an investee company, although financing was secured later from a different source. This also includes an increase to the salary of Mineral & Financial’s Chief Executive Jacques Vaillancourt.

Overall, operating expenses were £439,000 in financial 2022, up from £341,000 a year before. This includes a share-based payment expense of £92,000, and other gains and losses of £133,000.

Meanwhile, Mineral & Financial’s net asset value per share was up 10% to 20.04 pence from 18.22p a year ago, and its NAV was up 16% to £7.5 million from £6.4 million.

‘Our performance in 2022 was relatively strong, but below our expectations for the year,’ Mineral & Financial said.

Shares in Mineral & Financial closed down 5.0% at 18.04p on Friday in London.

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