ETI Promises Better Returns To Investors

By Festus Okoromadu

The management of Ecobank Transnational Incorporate (ETI) has assured its shareholders of higher returns on investment (ROI) by  the end of the financial year ending 2013.

This assurance was given today by Mr. Thierry Tanoh, Group Chief Executive Officer of the Pan- African bank while presenting the “Facts behind the figures” at the Nigerian Stock Exchange (NSE).

Mr. Tanoh, while speaking on steps being deployed to ensure that investors get better treatment in 2013 said, “We are closely focused on delivering cost efficiencies, whilst maintaining high levels of services and innovation”. He concluded that, “Overall, we are confident that 2013 will be another year of progress as we further strengthen and develop the Group to the benefit of all our stakeholders”.

He stated that the bank has deployed a three point strategic plan to make it a first choice financial institution across Africa. He identified the strategies to include, making ETI the employers’ first choice bank, focusing on organic growth as well as provision of strong returns and value to shareholders.

Presenting the operational highlights of the bank’s financials for the year ended December 31, 2012, Mr. Tanoh said, the successful integration of the landmark acquisition of Oceanic Bank in Nigeria and The Trust Bank (TTB) in Ghana resulted in significant increase in market share in both countries in terms of total assets. He stated that the additional investment of $74 million one-off restructuring cost during the period will enable the Group to benefit fully from the enlarged platform.

Another highlight of the financials according to the GCEO is what he called, “Strong performance in the fourth quarter”. He identified the key growth parameter in the quarter to include, customer loans which rose by 10 per cent, non-interest revenue grew by 62 per cent compared to the nine months 2012 run-rate, boosted by a $72.4 million refund from the Asset Management Corporation of Nigeria (AMCON) in respect of the Oceanic Bank acquisition.

Highlight of the bank’s account for 2012 include; profit after tax of $287 million, representing 39 per cent increase from the prior year, basic earnings per share of $ 1.70 Cents compared with $ 1.76 Cents in 2011, cost-to-income ratio on average equity improved each quarter of 2012. The board of directors of the bank has proposed a dividend of 0.4 Cents per ordinary share in respect of 2012.

The balance sheet analysis shows that total assets stood at $20 billion up from $17 billion or 16 per cent from the prior year, customers loans stood at $9.4 billion up from $7.4 billion representing 28 per cent while customer deposits stood at $14.6 billion up from $12.1 billion representing 21 per cent growth.