Access Bank to Pay N7.23b Interim Dividend

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  • Access Bank to Pay N7.23b Interim Dividend

Access Bank Plc will distribute N7.23 billion to its shareholders as interim dividend for the first half of this year as the commercial bank sustained modest growths in earnings. Shareholders will receive interim dividend per share of 25 kobo.

Access Bank had distributed N18.8 billion as cash dividend for the 2017 business year. Shareholders received a final dividend of 40 kobo, in addition to interim dividend of 25 kobo, bringing the total dividend per share for 2017 to 65 kobo.

Key extracts of the audited report and accounts for the six-month period ended June 30, 2018 showed that gross earnings rose from N246.58 billion in first half 2017 to N253.02 billion in first half 2018. Profit before tax stood at N45.84 billion in 2018 as against N52.05 billion in 2017. After taxes, net profit increased from N39.46 billion in first half 2017 compared with N39.63 billion in first half 2018. Earnings per share remained steady at N1.38.

The half-year report showed modest improvement on the first quarter performance of the commercial bank. In the first quarter ended March 31, 2018, Access Bank grew gross earnings by 19 per cent to N137.5 billion in first quarter 2018 compared with N116 billion recorded in first quarter 2017.

Interest income and non-interest income contributed 70 per cent and 30 per cent respectively to the top-line in first quarter 2018. The report showed a steady bottom-line performance. Pre and post tax profits stood at N27.44 billion and N22.12 billion respectively in first quarter 2018 compared with N27.6 billion and N22.41 billion posted respectively in corresponding period of 2017. Earnings per share stood at 77 kobo in first quarter 2018 as against 79 kobo in first quarter 2017.

Group Managing Director, Access Bank Plc, Mr. Herbert Wigwe said the bank has started mplementation of key elements of its strategy that will drive growths in the months ahead.

“A vital part of this is the continued execution of our retail market penetration initiatives, as it remains a strong catalyst to the sustainability of non-funded income growth. In addition we remain focused on consolidating our market position in the corporate and commercial banking segment,” Wigwe said.

He outlined that the priority of the bank for the rest of the year will be to focus on its retail offerings as it continues to see the benefits of the initiatives intensify over the next few months.

The Nigerian Stock Exchange (NSE) recently upgraded Access Bank to its premium board.

Shareholders of the bank recently authorised the board of directors of the bank to raise up to $1.5 billion or N459 billion in new debt issue. Shareholders passed a resolution increasing the size of the bank’s existing $1 billion debt issuance programme to $1.5 billion by the addition of $500 million.

The debt issuance programme will enable Access Bank to raise capital through the issuance of non-convertible loans, notes, bonds and any other instruments whether by wa of public offering, private placement, book building process reverse call inquiry or any other method or combination of methods.

About the Author

Samed Olukoya
CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and, with over a decade long experience in the global financial market. Contact Samed on Twitter: @sameolukoya; Email: [email protected]

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