Vibrant financial institution, Sterling Bank has outlined that its transition to a holding company would enable the bank to explore other businesses and further improve returns to shareholders.
The assurance came yesterday as shareholders of the bank at the 61st annual general meeting in Lagos approved a 50 per cent increase in dividend payout to 15 kobo per share for the 2022 business year.
Addressing shareholders at the first meeting as a limited liability company, following its ongoing transformation into a holding company structure, Chairman, Sterling Bank, Mr. Asue Ighodalo said the bank remains very optimistic about its future and it is devoted to effectively transform its business to deliver optimal performance, and significantly offer superior services to millions of Nigerians.
He said the ongoing transformation into a holding company structure will allow shareholders and customers to maintain continued exposure to the bank’s existing lines of business and gain exposure to new business lines that will enhance shareholder value.
“We are steadfast in our commitment to lead with best-in-class customer experience, establish a work environment that helps our employees became the best versions of themselves, become even more socially responsible as an institution, and create immense value for our shareholders.
“As we chart a new future for our organization, the expanded company structure will give us the renewed ambition to conquer new ground and solve more problems,” Ighodalo said.
He noted that despite the challenges in 2022, the bank’s performance reflected its resilience and determination to deliver optimal value for its shareholders.
“We are pleased that we closed the year on a good note,” Ighodalo said.
The audited report and accounts for the year ended December 31, 2022 showed that the bank grew profit before tax to N 20.8 billion, representing a 29 per cent increase from N 16.1 billion recorded in 2021. Profit after tax grew by 28.5 per cent growth to N19.3 billion in 2022. The bottom-line performance was driven by N18.6 billion improvement in net operating income amidst heightened inflationary pressure and regulatory policies. Gross earnings grew by 16.6 per cent to N175.1 billion compared to N150.2 billion reported in 2021.
Ighodalo noted that the bank’s strong performance in 2022 was underpinned by growth in its assets base and customers’ deposits by 14.4 per cent and 9.8 per cent respectively, despite strong economic headwinds experienced by the Nigerian economy in the year under review.
Ighodalo outlined that the bank has maintained and increased momentum in 2023 with its citation as Africa’s Most Valuable Commercial Bank Brand for 2023 by the African Brand Magazine, in a poll conducted by GeoPoll and Kantar; two of the world’s leading brand research firms, a top three employer in Nigeria by LinkedIn in the social network’s annual Top 25 List, and most recently, one of the top 100 fastest growing companies in Africa by the prestigious Financial Times.
Shareholders who spoke at the meeting commended the board, management and staff of the bank on what they described as remarkable financial performance in 2022 year.
A shareholder, Mr. Rilwan Hamza, commended the board members and staff of the bank for what he described as wonderful financial performance.
President, Progressive Shareholders Association (PSAN), Mr. Boniface Okezie, expressed delight at the level of transparency displayed by the board and commended them for the improved dividend payout.
Shareholders urged the board to make the most of the transition into a financial holdings company and establish more subsidiaries that will drive even more growth and increase shareholder value.
Credit: thenationonlineng.net
