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Diamond Bank Plc has announced challenges in meeting its obligation of releasing of its 2017 year ended December 31, 2017 audited financial results stipulated to be released by March 31, 2018, by the post listing requirement of the Nigerian Stock Exchange (NSE).
According to the bank in a statement to the NSE on Wednesday, said that due to the stage of review of its accounts by the Central Bank of Nigeria (CBN), it was unlikely that the bank would be able to comply with the NSE and other regulatory rules guiding release of annual audited financial statements.
It said, it has become imperative to inform members of the NSE, esteemed shareholders and other stakeholders that, it cannot release its audited results as required by the NSE.
The statement signed by the bank’s Secretary/Legal Adviser Uzoma Uja reads in parts, “We have become aware that due to the stage of review of our accounts by the Central Bank of Nigeria, it is unlikely that this will be concluded in time for us to comply with the NSE and other regulatory rules guiding release of annual audited financial statements.
“We have therefore sought the approval of the NSE and the Securities and Exchange Commission (SEC) for a delayed release. We are optimistic that the accounts will be made available before or by April 30, 2018. Please b with”
It can be recalled that Diamond Bank’s profit after tax dipped by 38.34 per cent during the financial year ended December 31, 2016. Its profit after tax also dropped to N3.49 billion from N5.66 billion recorded in 2015.
A further x-ray of the bank’s position in the 2016 financial year showed that gross earnings also dropped to N212.41 billion from the N217.09 billion recorded in the preceding year.
The bank in a statement in 2016, is said to have posted 53 per cent growth year-on-year in total comprehensive income of N12.1 billion, while non-interest income inched by 6.9 per cent to N53.9 billion, ostensibly stimulated by transaction fees.
The statement stated that the bank’s capital adequacy ratio remained stable at 15.0 per cent, equal to the Central Bank of Nigeria’s required minimum standard.
It said that revenue from non-interest income, especially its mobile banking, increased from N0.41 billion in 2015 to N2.6 billion in 2016.
Uzoma Dozie, the bank’s Chief Executive Officer, was quoted by the statement as saying that the company’s stable growth continued in spite of the harsh economic headwinds.
Mr. Dozie said that the strategies were primed to promote sustainable growth and profitability in the long term.
He said that the restructuring of bank’s operating model was a key development completed in 2016.
“Following its successful implementation, the emerging model has improved customer engagement, strengthened Diamond Bank’s value chain approach to business and delivered efficiencies across the bank,” he said.
Mr. Dozie said that these measures had helped to improve the bank’s low-cost deposit base from the retail segment, whilst also facilitating growth in non-interest income and reduction in interest expenses.
“In the months ahead, the bank will continue to deploy new technologies and digital applications to drive financial inclusion and convenient banking amidst a decline in the pace of economic activities and weak economic fundamentals,” he said.
According to him, the bank will also continue to deepen its retail strategy to mop up low cost funds, expand its credit creation structure and increase market share in all market segments.
