Access Bank shareholders approve N0.40 kobo dividend

Impressed with the strong financial performance in 2016, despite the difficult operating environment, shareholders of Access Bank Plc have commended the board and management of the bank.
The shareholders, who gave the commendation at the bank’s annual general meeting (AGM) in Lagos, yesterday also approved a final dividend of 40 kobo per share in addition to the interim dividend of 25 kobo, making a total of 65 kobo per share.
Speaking on the bank’s performance, the national coordinator, Independent Shareholders Association of Nigerian (ISAN), Sunny Nwosu applauded the bank’s remarkable achievements and noted that the dividend payment was an indication of the resilient performance recorded in the year.
Also a shareholder, Nona Awo urged the bank to focus on deposit as a major boost to the bank’s revenue.
Speaking to shareholders, the chairman of the bank, Mosun Belo-Olusoga said that in 2016, the resilience of the Nigerian banking sector was put to the test, as responsiveness and agility became key drivers of strong and sustainable performance in an increasingly unpredictable operating environment.
She said the bank would remain focused in its pursuit of shareholder value, adding that it would continue to provide the stability and strategic direction the bank requires to deliver operational excellence in its bid to become the World’s most respected African bank.
Speaking at the AGM, the Group Managing Director and Chief Executive Director of Access Bank Plc, Herbert Wigwe, explained that despite the challenging economy, year 2016 was a year of progress for the bank as many of the strategic choices made by the bank over the years were validated when tested by the economic recession.
He noted that the company was further fortified by the successfully raised $300 million senior unsecured notes and N35 billion commercial paper, thus strengthening the bank’s balance sheet and providing it with the flexibility to take advantage of attractive opportunities during the downturn.
“The Group reported gross earnings of N381 billion, up 13 per cent from 2015. Profit before tax grew by 20 per cent to N90 billion from the previous year in line with our strategic growth plan. Revenue rose across all operating division with significant support from the retail business, posting N12 billion in profit before tax and contributing 11 per cent to Group profit,” Wigwe said.
The CEO added that to secure the bank’s aspiration to be a high performing diversified banking leader focusing on global best practices, it was vital to maintain disciplined capital position and tightened risk tolerances.
He noted that top priorities of the Bank in the coming year was to cement it’s position as a dominant corporate bank and establish the bank as a formidable retail player; leverage digital technology and innovation to create value for customers, while unlocking new revenue streams; and deliver seamless and superior customer experience across all service touch points.
He also added that the bank has maintained a balanced dividend payout ratio, based on a residual dividend policy, saying that this policy is hinged on the sustainability of dividend payouts and capital planning.