The National Housing Enterprise (NHE) reported a significant increase in its revenue for the 2023-2024 financial year, reaching N$229 million, up from N$169 million in 2023.
This 35% rise in revenue was attributed to the sale of housing units, which more than doubled, growing from 223 units in 2023 to 445 units in 2024.
Addressing the press at the NHE’s Annual General Meeting (AGM), Toska Sem, Chairperson of the NHE Board of Directors, highlighted the achievements and challenges the organisation faced over the past year.
She noted that NHE’s total asset base now stands at N$1.2 billion, with a reported profit of N$6 million for the financial year.
“This healthy statement of financial position, along with a low debt/equity ratio and a moderate cash position, renders the Enterprise resilient in the current economic climate,” she explained.
A key factor in NHE’s improved performance was the return of the mass housing mandate, which, combined with other measures, accelerated the delivery of housing units.
“These interventions have resulted in the speeding up of our activities and enabled us to deliver faster and collect revenue on time,” Sem remarked.
Meanwhile, in September 2024, the NHE presented its first-ever amalgamated Annual Report, incorporating audited financial statements from 2017 to 2023.
Sem noted that the 2023-2024 financial statements were finalised and approved by the Board in December 2024, making NHE fully compliant with the relevant laws.
“We have since built on this momentum and gained traction leading to the finalisation and approval of the 2023-2024 Audited Financial Statements by the Board in December 2024, rendering the Enterprise current and compliant with applicable laws,” Sem stated.
Regarding the organisation’s budget and financial management, Sem emphasised that the 2024-2025 Annual Budget was designed to maximise housing delivery through efficient project management and prioritisation of core business activities.
“Special emphasis was also placed on prioritising projects to ensure that more capital is geared towards the core business of the organisation,” she said.
The organisation’s strategic focus remains on three key themes: Business Growth, Operational Efficiency and Customer Centricity.
The Integrated Strategic Business Plan (ISBP) for 2024/2025 to 2028/2029, which has received provisional approval from the Shareholder, will guide NHE’s activities in the coming years.
“As a result of these initiatives, NHE’s compliance with the Public Enterprises Governance Act (PEGA) has risen from 40% in April 2023 to 95% as of now,” she said.
Despite these successes, NHE faced challenges in acquiring affordable serviced land in urban areas, as Sem noted that the organisation had intensified engagements with local authorities, which led to land acquisitions in various towns.
“We have intensified our stakeholder engagements with local authorities, which has resulted in the acquisition of land in various towns,” Sem confirmed.
NHE also faced funding limitations for housing delivery, and the Board is considering proposals for affordable funding to be submitted to the shareholder for approval.
“For NHE to deliver on its mandate, sufficient capital should be invested in housing construction,” Sem said.
