Sir Kostas Constantinou

Sir Kostas first joined BSP as a Director in April 2009, when the company was known as "Bank of South Pacific Limited," and later became Chairman of the Board in February 2011.

The result is 9.5% lower compared to 2019, driven by an increase in impairment expenses to K201.3m (+102.9%) due to the impact of COVID-19 across the Group.

In announcing the 2020 results, Sir Kostas Constantinou, OBE, Chairman of the BSP Board highlighted that notwithstanding the profit reduction, the result reflects a continuing strong underlying performance by BSP which has been able to withstand the significant adverse impact of the COVID-19 pandemic due to its strong balance sheet and prudent provisioning policies.

Sir Kostas noted that despite challenging macroeconomic conditions in PNG and other Pacific countries in which BSP operate, BSP Group again recorded improved outcomes in 2019 with a net profit after tax of K890.4m, an increase of K46.3m on the 2018 result.

The profit was announced at the end of the 2019 financial year; a historical turning point for the national airline as they undertook a massive transformation.

Although the operating profit is only K500,000, the achievement is off the back of a loss of K133 million the previous financial year.

This impressive turnaround follows the implementation of significant initiatives including the Higher Altitude program that reviewed the business’ cost control, revenue opportunities, customer service improvements and operations.

Since taking over the reins in mid-2018, Sir Kostas has introduced strict profit making decisions and gone about to instil new culture by engaging more often with staff.

And so far the airline is slowly turning around to be more successful.

“When I went into Air Niugini, it was on track to lose about K180 million profit and I took it on the middle of the year. Within the first day I had already asked the management for pre-packs on all the financials, where we are going, what we are doing, with profitability,” said Sir Kostas.

In a statement, BSP Group Chairman Sir Kostas Constantinou announced the dividend payment will be payable on the 20^th of October.

The interim dividend of 32 toea per share BSP represents:

This was revealed today during the announcing of the final dividend to shareholders for 2016 today.

The decision to enter Cambodia was settled on May 2^nd this year.

BSP owns 50 per cent of an asset finance company called RMA Finance, which is now in the process of being rebranded to BSP Finance Cambodia Proprietary Limited.

“It’s already operating. We now own 50 per cent and the formal rebranding, hopefully by the end of July we’ll have the BSP colours proudly in Cambodia,” said BSP CEO Robin Fleming.

During the company’s Annual General Meeting in Port Moresby on Friday, the three men were re-elected by a majority of the company’s shareholders.

Aopi joined the Board as an Executive Director on May 18, 2006 and presently holds the position of Executive General Manager Stakeholder Engagement.

He has substantial public service and business experience in Papua New Guinea, having had a long and distinguished career in government, filling a number of important positions, including Secretary for Finance and Planning and Managing Director of Telikom PNG Ltd.

Group chairman Sir Kostas Constantinou in a statement said BSP is aware of speculation regarding a potential secondary listing of BSP on the Australian Securities Exchange.

He said as previously announced to POMSOX, BSP has been assessing how it might improve the liquidity of its share register.

“The timing and size of any offer under the Potential Listing, will depend on a number of factors within and outside BSP's control, including prevailing market conditions and investor appetite.”

In a statement released by the Port Moresby Stock Exchange (POMSOX), Chairman of BSP Sir Kostas Constantinou when announcing the appointment welcomed Sam to the board.

Sir Kostas said Sam’s appointment will see a continuation of BSP’s Board renewal process.

He also stated that he is confident that Sam will contribute positively to the Board’s performance.

Sam is a qualified and experienced accountant.

He holds a Bachelor of Commerce from the University of Papua New Guinea and is a Member of CPA PNG.