Nigeria’s longest-serving indigenous bank, Wema Bank Plc, will for the first time in almost a decade-and-a-half pay out dividends to its shareholders, a move that confirms the lender’s rapid rise from a near collapse just over 10 years ago.
The lender, which is also the pioneer of Africa’s first fully digital bank, ALAT, confirmed that it will be paying out 3kobo per share after approval from its board. It, however, noted that payment is subject to shareholders’ final approval, which will be sought at the Annual General Meeting in May.
An analysis of the financial scorecard of Wema Bank indicated that the lender pushed its gross earnings up by 9.59 percent to N71.5 billion from N65.3 billion in 2017, while the interest income appreciated by 8.60 percent to N57.6 billion from N53.1 billion.
In the results, the net fee and commission increased to N6.5 billion from N5.6 billion, the net trading income rose to N5.5 billion from N4.8 billion, while the other income appreciated to N1.8 billion from N1.6 billion.
During the year, the bank’s total assets rose to N488.8 billion from N387.6 billion, while the total liabilities went up to N437.9 billion from N337.9 billion, with the shareholders’ fund rising to N50.9 billion from N49.6 billion.
For the 2018 financial year, while the profit before tax rose by 59.43 percent to N4.8 billion, the profit after tax rose by 47.48 percent to N3.3 billion from N2.3 billion, with the earnings per share going up by 48.28 percent to N8.60k from N5.80k.