Fidelity Bank Raises Dividend to 20 Kobo as Profit Hits N28bn

By Dipo Olowookere

Shareholders of Fidelity Bank Plc will get higher a dividend for the 2019 financial year as the lender has raised payout to 20 kobo from 11 kobo it paid for the 2018 fiscal year.

On Monday morning, the company released its audited financial statements for the year ended December 31, 2019 and in the results, it said the board recommend a dividend of 20 kobo per ordinary share amounting to N5.793 billion for approval at the Annual General Meeting (AGM).

If approved, dividend will be paid to shareholders whose names appear on the register of members at the close of business on April 17, 2020.

A look at the key performance indicators of Fidelity Bank in the 2019 financial year showed that the gross earnings increased to N215.5 billion from N189.0 billion, while interest income rose to N177.0 billion from N153.7 billion, while the interest expense rose to N99.3 billion from N84.1 billion, with the net interest income at N83.1 billion in contrast to N73.4 billion.

Fee and commission income grew to N25.3 billion from N20.4 billion, while the fee and commission expense increased to N5.3 billion from N3.4 billion, with the other operating income at N7.9 billion versus N11.1 billion in the prior year.

In addition, the personnel expenses slightly increased to N14.1 billion from N23.9 billion, while other operating expenses jumped to N52.4 billion in FY19 from N42.0 billion FY18.

The mid-level lender further said its profit before tax rose to N30.4 billion from N25.1 billion, while the profit after tax appreciated to N28.4 billion from N22.9 billion.

During the year, Fidelity Bank grew its loans and advances to customers to N1.1 trillion from N849.9 billion, while deposit from customers increased to N1.2 trillion from N979.4 billion.

The total assets of the lender during the year increased to N2.1 trillion from N1.7 trillion, while the total liabilities rose to N1.9 trillion from N1.5 trillion.