Goddy Egene
Shareholders of Access Bank Plc, Guaranty Trust Bank Plc, United Bank for Africa Plc and Zenith Bank Plc are reaping the benefits of their investments as the four banks have given a total of N168.29 billion as dividends for the 2016 financial year.
The Nigerian economy went into recession last year, a development that has affected the performance of many companies for the year. While investors in some companies will receive lower dividends, some will be without dividends. However, these four banks have rewarded their shareholders with higher dividend, the challenging environment notwithstanding.
Zenith Bank recorded the highest gross dividend payout of N63.42 billion, which translated to 202kobo per share. The shareholders have already approved and started receiving the dividend after their annual general meeting (AGM) that was held last month.
Addressing the shareholders at the AGM, Chairman of Zenith Bank Plc, Mr. Jim Ovia said the bank was able to fully exploit the available opportunities to post the impressive results.
He said in line with its commitment to delivering superior returns to its much-valued shareholders, the bank ensured that a good chunk of the profit was set aside for shareholders.
“In this regard, we have declared and paid you an interim dividend of 25 kobo per share in the course of 2016 financial year. We hereby propose a final dividend of 177 kobo per share. This brings the total dividend for the year ended December 31, 2016 to 202 kobo per share as against 180 kobo per share paid the previous year,” Ovia said.
GTBank Plc followed with a dividend of N58.86 billion, which is equivalent to 200 kobo per share. The shareholders are expected to approve the dividend at the forthcoming AGM of the bank.
Similarly, UBA Plc is to reward its shareholders with N27.21 billion for the year, translating to 75 kobo per share. According to the Group Managing Director/Chief Executive Officer of UBA, Mr. Kennedy Uzoka, the bank would continue to deliver excellent service to its customer and remain committed to creating superior and sustainable returns for its shareholders.
In the same vein, Access Bank Plc last week splashed N18.80 billion dividend on the shareholders. Every shareholder went home with 65 kobo dividend per share.
Addressing the shareholders at the AGM last week, the Chairman of the Access Bank, Mrs. Mosun Belo-Olusoga said the board would remain focused in its pursuit of shareholder value and continue to provide the stability and strategic direction the bank requires to deliver operational excellence in our bid to become the world’s most respected African bank.
The Group Managing Director/Chief Executive Officer of Access Bank, Herbert Wigwe said that although the macro-economic conditions and corresponding implications on the banking industry remain uncertain, the bank’s diversified banking model, robust balance sheet and solid management team give it the strength and resilience that will keep the financial institution in good stead.
