• Friday, May 24, 2024
businessday logo

BusinessDay

Fidelity Bank to pay N5.79bn as dividend amid N30.35bn PBT in FY’19

Nnamdi Okonkwo, CEO, Fidelity Bank

The Board of Directors of Fidelity Bank Plc has recommended a dividend of 20 kobo per ordinary share amounting to N5.793billion in respect of the 2019 financial year ended December 31.

The Bank’s audited financial results for the period under review which was released to the investing public on Monday March 23 shows it grew gross earnings by 14percent to N215.515billion from N189.005billion in 2018. Net Interest Income (NII) printed higher at N83.055billion from N73.356billion in 2018, up 13.2percent.

Profit Before Tax (PBT) increased by 21percent to N30.353billion from N25.089billion while Profit After Tax (PAT) increased by 24percent to N28.425billion from N22.926billion.

At N1.69kobo the stock closed on Friday March 20, it nears its 52-week low of N1.40kobo, against a 52-week high of N2.42kobo. Fidelity Bank share price has declined by 17.6percent this year, underperforming the NSE ASI which yielded negative year-to-date (Ytd) return of -17.30percent as at same day.

The bank will at its forthcoming Annual General Meeting (AGM) seek shareholders’ approval to pay the dividend. If approved, the dividend will be paid to shareholders whose names appear on the Register of Members at the close of business on April 17, 2020. The proposed dividend is subject to Withholding Tax at the appropriate tax rate, which will be deducted before payment.

Total Net Loans & Advances            of Fidelity Bank Plc increased to N1.276trillion as against N961.513billion in 2018, up 32.8percent. Total Deposits rose by 25.1percent to N1.225trillion from N 979.413billion while Total Assets of N2.114trillion in 2019 as against N1.719trillion in 2018, represents 22.9percent increase.  Cost to Income Ratio (CIR) decreased to 76.3percent from 78.2percent in 2018, down 1.9percentage point. Return on average equity (ROAE)  increased by 1.7percentage point to 13.3percent from 11.6percent in 2018.