SHAREHOLDERS of Guaranty Trust Bank Plc (GTBank) has applauded the board of directors for its resilience in the face of economic downturn with the 13 per cent increase in the dividend payout.
Shareholders, who approved the final dividend of N1.75 kobo at the Bank’s Annual General Meeting (AGM) held in Lagos, observed that the company had been consistent in paying dividend thus increasing the loyalty of shareholders to the Bank.
The Chairman of the company, Mrs Osaretin Demuren, noted that the final dividend per share of N1.75, as proposed by the board aggregated with the 25 kobo interim dividend brings total dividend for the year to two naira per share. “This is a 13 per cent increase over N1.77 paid in 2015 which represents a dividend yield of 8.16 per cent at a market price of N24.61.”
GTBank’s Managing Director, Segun Agbaje, while responding to accolades on the dividend payout noted that the company was in no competition with any other on dividend payment, adding that the Bank made enough money to give more dividends.
“We promise to add value to your stocks, which is why there is an appreciation in the dividend paid compared to that of last year.”
Speaking on the Bank’s 201f full year financial result, the Chairman said the Bank grew it’s Gross Earnings by 37.4 per cent from N301.9 billion in 2015 to N414.6 billion in 2016 and Profit Before Tax increasing by 36.8 per cent to N165.1 billion in 2016 from N120.7 billion in 2015.
“Customer Deposits grew by 23.3 per cent from N1.61 trillion in 2015 to N1.99 trillion in 2016. We also maintained our position as the most efficient bank in Nigeria by recording a Cost to Income Ratio (CIR) of 40.8 per cent in 2016.
According to the Managing Director of the bank, Segun Agbaje, the bank’s performance in 2016 did not only reflect the resilience of the company’s franchise, but demonstrated the fundamental strength of its businesses to deliver sustainable long-term growth.
Looking ahead, Agbaje noted that although the challenges in the macroeconomic environment were likely to persist, the Bank’s commitment to staying positive, delivering exceptional financial services to its customers, and adding value to all stakeholders has never been stronger.
“With the repositioning of our business structures and significant investment in our digital abilities, we are confident in our capability to deliver differentiated products and services to our customers whilst enhancing cost-efficiency and reducing risk,” he said.
He further noted that the Bank would continue to focus on strengthening these relationships in order to ensure long-term franchise value and deliver sustainable returns to our shareholders.
“This strategy which has served us well in the past and is serving returns to our shareholders, we believe, will continue to serve us well into the future,” he said.