Shareholders of Fidelity Bank Plc have approved the bank’s recommendation of 18 kobo dividend per share, which allows the bank to retain much of its earnings for the benefit of growing its business in the years ahead.

Speaking at the bank’s Annual General Meeting in Lagos on Thursday, shareholders expressed optimism over the ability of the bank to deliver sustainably high returns to them over the medium to long term.

The National Coordinator, Shareholders Association of Nigeria, Chief Timothy Adesiyan said: “I commend the appointment of Mr. Christopher Ezeh as the Chairman. He has proven business leader. I am also happy with the bank’s performance, I have no doubt that it will continue to improve with Ezeh as Chairman.

Adesiyan expressed his appreciation for the support of all shareholders and reiterated the commitment of the bank in sustaining the leadership and dominant position on the continent.

While affirming the bank’s commitment to strict adherence to the best practice in corporate governance, he explained the bank’s dividend policy in the current financial year was guided by the need to be prudent.

“Though Fidelity Bank is adequately capitalized with capital adequacy ratios in excess of regulatory requirement, we proactively raised additional capital during the year to further boost our capital base and it would not have been prudent to pay so many dividends after raising capital from the market. Shareholders should however expect higher dividend in future,” he said.

A shareholder, Chief Shotunde Shogbemi, commended the board and management for focusing on both the short and long term growth of the bank, saying that shareholders are not only interested in the profit t the bank makes this year but also in the ability of the bank to sustain its leadership position over the long term.

President, Progressive Shareholders Association of Nigeria (PSAN), Mr. Boniface Okezie, having commended the growth recorded by the bank in its 2014 financials charged management of the bank to discuss unfavourable CBN’s policies at the Bankers Committee Meeting. “We are tired of unwarranted CBN policies which have impacted negatively in the bank’s drive to declare robust dividends payout.”

Speaking on the bank’s financial performance, the Managing Director/CEO, Mr. Nnamdi Okankwo said, “We recorded gross earnings of N132.401billion as against N126.91 billion in 2014. This improved performance was buoyed by the increased volume of transaction across all our service channels and growing share of our customers’ wallet. Profit Before Tax increased rose to N15.515 billion in the current financial year from N9.28 billion in 2014.

•Adapted from Newswatch Times.

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