Ecobank resumes dividend payment, shareholders to receive N52.8bn

ECOBANK Transnational Incorporated has returned to dividend payments with a N52.8 billion payout, underscoring a strong rebound in profitability and renewed confidence in its balance sheet after a two-year pause.

The pan-African lender announced a final dividend of 0.16 US cents per share for the 2025 financial year, translating to approximately N2.15 per share at an exchange rate of N1,342 to the dollar. The payment is subject to shareholder approval at its Annual General Meeting scheduled for June 3, 2026.

Shareholders on record as of June 12, 2026, will receive their dividends electronically on June 30, 2026, provided they have completed e-dividend registration.

The payout marks Ecobank’s first dividend since 2023, when it distributed 50 kobo per share, signaling a return to rewarding shareholders after a period of earnings consolidation.

The announcement comes on the back of a robust financial performance in 2025, with profit after tax rising 23% year-on-year to ₦914 billion, driven by strong growth in both interest and non-interest income streams.

Interest income climbed to N3.19 trillion, supported by loans to customers, investment securities, and treasury bills, while non-interest revenue rose 16 percent to N1.58 trillion, bolstered by a 17 percent increase in fees and commissions.

Overall, operating income reached N3.7 trillion, with operating profit jumping 31 percent to N1.9 trillion, highlighting improved efficiency and scale across the group’s operations.

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The bank’s balance sheet also strengthened significantly, with retained earnings increasing to N2.5 trillion from N1.7 trillion, contributing to total equity of N4.1 trillion.

Despite the strong earnings, the declared dividend reflects a conservative payout ratio of 5.84 percent and a yield of about 3.5 percent, suggesting the bank is prioritising capital retention to support future growth.

Investor sentiment has remained positive. Ecobank’s shares have gained over 46 percent, recently breaking past the N51 level to trade above N61, placing the stock among the top performers on the Nigerian Exchange.

Market activity has also picked up, with more than 164 million shares traded so far in 2026, putting the stock on track to match or exceed last year’s volume.

Analysts say the combination of earnings growth, capital strength, and the resumption of dividends positions Ecobank as a key banking stock to watch, particularly if it sustains its current momentum and gradually increases shareholder returns.

The latest results reinforce the bank’s recovery trajectory and signal a shift toward more consistent value delivery, even as it continues to balance growth ambitions with shareholder expectations.