By Peter Egwuatu
Stanbic IBTC Bank, aÂ Â member of the Standard Bank Group has recorded an assets base of N351 billion in the nine month period ended December 31, 2008.
Its gross earnings increased from N28.65 billion in the 9_month period ended December 31, 2007 to N61.24 billion for the year ended December 31, 2008. Non interest revenue surged by 57 percent from N12.88 billion in 2007 to N20.27 billion at the end of last year. Profit before tax, which stood at N10.99 billion in 2007 increased by 33 percent to N14.63 billion last year while profit after tax and minority interest increased by 52 per cent from N7.58 billion in the 9_month ended December 2007 to N11.56 billion in December last year.
The Groupâ€™s total assets grew by 11 percent from N315.11 billion as at end of December 2007 to N351.25 billion as end of December, 2008 while total liabilities grew by 13 per cent in the same period from N239.09 billion to N269.88 billion. Shareholdersâ€™ funds grew by 7 percent from N75.57 billion to N80.67 billion.
The management of the bank has reiterated its commitment to the growth and development of the Nigerian economy, even as it assured all stakeholders that the bank remains in sound financial health. These assurances were made at Stanbic IBTCâ€™s 20th Annual General Meeting (AGM) in Abuja last week.In his address to shareholders, Chairman of Stanbic IBTC Bank, Mr. Atedo Peterside, stated that despite the harsh realities of the global economic crisis, Stanbic IBTC remains in very sound financial shape.
The change in shareholdersâ€™ funds, however, Peterside noted, â€œmerely represents the undistributed portion of the current yearâ€™s profits. â€œAs a groupâ€, Peterside reassured, â€œwe are committed to upholding the highest levels of corporate governance and have implemented a comprehensive governance framework.â€
Meanwhile, shareholders also approved the 40 kobo dividend per unit recommended by the Board of Directors; an increase of 60 per cent over the 25 kobo paid in the 9_month period ended December 2007. Chris Newson, Chief Executive Officer, Stanbic IBTC Bank, while outlining the companyâ€™s plans, said the bank will continue to invest in its people for sustained performance. He said the bank will continue to adopt a measured approach to short term gains versus long term sustainability, the overall goal being to surpass customersâ€™ expectations and to expand brand affinity among the different groups that constitute the bankâ€™s clientele.
The first step towards the evolution of a world class institution operating out of Nigeria was taken on August 21, 2007 when Standard Bank secured 50.1% shareholding of Stanbic IBTC Bank via a merger/tender offer, which also culminated in the injection of US$640 million of foreign direct investment into Nigeria, thus opening the door to membership of a group with cross market and cross continental expertise. The Standard Bank Group has been in business for 146 years and is Africaâ€™s largest banking group ranked by assets and earnings. As at December 31 2008, the group had total assets of over US$162 billion, employing over 50,000 people worldwide, banking network in 17 African countries and 19 countries outside of Africa including the key financial centers of Europe, United States of America and Asia.