By Nse Anthony-Uko
(Sundiata Finance) — The Management of Zenith Bank Plc is expected to meet on July 26, 2017 and decide on interim dividend payable to shareholders who invested in the financial institution according to Zenith Bank’s company secretary/general counsel, Mr. Michael Otu.
Otu in a statement stated that the group audited interim accounts and financial has been filed to Central Bank of Nigeria (CBN) for approval prior to the release of the results on the floor of the Nigerian Stock Exchange (NSE).
Zenith Bank for half year of 2016 declared a 25k interim dividend and final dividend of final dividend of 177 kobo per share to amount to 202 kobo per share paid to shareholders in 2016.
According to Otu “In line with listing regulations of The Nigerian Stock Exchange for quoted companies, Zenith Bank Plc hereby informs you that the board of directors of the bank is scheduled to meet on Wednesday July 26, 2017, to consider the Group’s audited interim financial statements for the half year ended June 30, 2017. The meeting will also consider amongst others, the proposal for recommendation of interim dividend for shareholders.
“Please note that we are required to forward the audited interim Accounts and financial statements to Central Bank of Nigeria (CBN) for approval prior to the release of the results on the floor of the Nigerian Stock Exchange. We shall notify you of the decisions reached after the approval of the CBN is obtained.”
However, the financial institution despite the challenging operating environment, recorded total revenue of N214.8 billion which represents a marginal drop of 6.2 per cent over the same period last year. The group also reported an increase of 2.9 per cent in interest income, and a decrease in its interest expense by 14.5 per cent.
Profit before Tax (PBT) dropped by only N9 billion despite a drop in top line revenue by N14billion for the same period. This is attributable to the Group’s operational efficiency and cost optimization efforts. The group continues to maintain high quality risk assets and closed with Gross Loans and Advances of N2.3trillion as at June 30, 2016.
This represents a 15.1per cent increase over the N2.0trillion recorded at the end of the 2015 financial year. This increase is mainly due to the impact of the devaluation of the Naira on our foreign currency loans. Also, it partly accounts for the growth of Non Performing Loans (NPL) to 2.34 per cent as at half year of 2016 , with a coverage ratio was 110 per cent.