sitemaps.org/schemas/sitemap/0.9/sitemap.xsd BrandArena: Diamond Bank Posts Impressive result for 2012, Declares N22bn PAT

Monday 15 April 2013

Diamond Bank Posts Impressive result for 2012, Declares N22bn PAT

Diamond Bank Plc has declared profit before tax (PBT) of N27.5 billion for its financial year ended December 31, 2012. This represents a complete turnaround from the loss before tax of N18.0 billion recorded in 2011.

The bank’s PBT was achieved from gross earnings of N138.8 billion, an increase of 35 percent over N102.7 billion earned in the previous year.  The profit after tax (PAT) for the year grew by over 250 percent to N22.1 billion as against the Loss of N13.9 billion achieved in 2011. The PAT resulted in earnings per share of 159k for the year.

According to the Group Managing Director, Dr. Alex Otti, “2012 performance is a reflection of our collective decision to place the Bank on a growth pedestal towards becoming one of the leading financial institutions in Nigeria having achieved N1 trillion balance sheet size. The year saw us building on our strong reputation for customer focus, innovative product development and quality service, thus returning to profitability after the cleanup exercise in 2011. These principles will continue to steer our growth on an impressive and sustainable path”.

He added: “Leveraging on these principles and the focused development of our service delivery infrastructure, systems and technology, we have gained momentum and scale in all our markets. Our strong balance sheet, large customer base and solid risk management framework have helped us to build a robust institution capable of guaranteeing quality growth”.

On the strength of the bank’s impressive performance, the market was expecting payment of dividend to shareholders. However, in view of the current efforts towards capital injection, dividend payment in a year that the bank will be raising additional capital will not be advised.

In line with its medium term capital raising program following the approval of its shareholders to raise capital of $750 million at the last Annual General Meeting (AGM) that held on the 31st of May 2012, the Bank is seeking an amendment to this approval in next AGM coming up on the 30th of April 2013. According to Management, the proposed amendment is necessary in order to expand the capital raising options to include rights issue of equity or debt.

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