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…As Shareholders Smiles’ Home With N2.45 Final Dividend
Zenith Bank Plc has announced a final dividend of N2.45 kobo per share for the full year ended December 31, 2017. The final dividend is in addition to the 25 kobo interim dividend that was paid last year. Amounting to N2.70 kobo total dividend for the 2017 financial year.
According to the audited account which was presented to the Nigerian Stock Exchange (NSE) on Monday March 12, 2018, the register of members will close from April 4 to 9, 2018. While payment will be made electronically to shareholders whose names appears in the register of members on April 13, 2018. GDR holders will be paid after the local payment date.
This year Annual General Meeting (AGM) will be held at Shehu Musa Yar’Adua Centre Abuja on April 13, 2018. A breakdown of the financial performance shows that gross earnings was up by 46.69 percent from N507,997 billion in 2016 to N745,189 billion in 2017. Profit before tax grew from N156,748 billion in 2016 to N203,461 billion in 2017.
Also profit after tax moved from N129,652 billion in 2016 to N177,933 billion in 2017. Basic earnings per share stood at 566 as against 412 that was recorded same period in 2016. The Bank was incorporated in Nigeria under the Companies and Allied Matters Act as a private limited liability company on 30 May, 1990.
Other major highlight of the state of health of the bank showed that Interest income (+23.42%) increased to N474.63 billion. NIR surged by 119.18% to N270.56 billion, owing to significant rise in trading income by 456.29%.
Also, the bank’s result showed that total operating income in the year was 45.36% higher at N528.55 billion – 178.00% higher than polled expectation even as loan impairment provision surged by 203.64% to N98.23 billion.
Operating expenses was 29.99% higher than the previous year at N226.86 billion, with PBT and PAT standing at N203.46 billion and N177.93 billion, 29.80% and 37.24% higher than their respective figures in the previous year, and Bloomberg’s polled forecasts of N193.59 billion and N159.52 billion respectively.
Over Q4-2017, Gross earnings (+41.83% q/q and +67.59% y/y) increased to N212.92 billion – its second highest during the year, after Q2-2017’s N232.70 billion.
Specifically, Interest income also improved by 13.37% q/q and 14.11% y/y to N112.84 billion. The significant upticks in trading income (+361.86% q/q and +535.34% y/y) and other income (+277.65% q/q, +207.59% y/y) during the quarter, muted the decline in fee and commission income (-42.52% q/q and -13.72% y/y), to drive growth in the NIR by +97.07% q/q and +251.45% y/y.
Loan impairment provision (+999.33% q/q and +387.74% y/y) surged to N51.17 billion during the quarter. Total opex was higher by 13.73 q/q and 67.38% y/y in the quarter.
PBT and PAT came lower than their respective quarters by 15.67% and 9.68%, but 103.79% and 64.64% higher than their previous year values at NGN50.91 billion and NGN48.70 billion.
Dividend of NGN2.45 (2016: NGN2.02; 2017F:2.15) was proposed, equating to 7.90% yield on today’s price of NGN31.00.
