Nigerian Operations Contribute 42 % to ETI’s Revenue

Ecobank Transnational Incorporated (ETI), the pan-African banking group, which is the parent of Ecobank Nigeria Limited, realised 42 per cent of its revenue from Nigerian operations for the year ended December 31, 2012, its Group Chief Executive Officer, Mr. Thierry Tanoh, said on Monday.

 ETI recorded a revenue of $1.8 billion or N283.688 billion in 2012 and a profit before tax of $348 million, while profit after tax stood at $287 million. The board of the company has proposed a dividend of $0.4 per share for the shareholders.

Speaking at the Facts-Behind-the-Figures presentation to the capital market community in Lagos, Tanoh said 42 per cent of the revenue ($783 million or N118.69 billion) was realised from the Nigerian markets.

According to him, the group recorded total assets of $20 billion, loans of $9.4 billion, customer deposits of $14.6 billion, while tier 1 capital increased from $708 million to $2 billion.

He explained that the 2012 results were impacted by the successful integration of ETI’s landmark acquisitions in Ghana and Nigeria, resulting in significantly increased market share in both countries in terms of total assets(number one in Ghana and number six in Nigeria.

He said: “These very pleasing results reflect the successful integration of our two major acquisitions in Ghana and Nigeria, strong demand for retail banking services across our 33 country platform, increasing trade and commercial flows between Middle East Africa and the rest of the world together with a strong performance of our dedicated staff.”

He disclosed that the performance was also boosted by $72.4 million refund from the Asset Management Corporation of Nigeria (AMCON) in respect of the Oceanic Bank acquisition.

Tanoh said that going forward, ETI would raise tier 2 capital to further boost its operations, noting that its growth would however be mostly organic.

“Moving forward, our growth will be mainly an organic growth with attention on market and customer service. We would become more reactive and innovative and reference point in customer service, strong long term diversified returns for shareholders in sub-Saharan African,” he said.

Tanoh added that the strategy was to deliver outstanding customer service, improve long-term shareholder value and returns and be the employer of choice in their markets

"We are targeting a deposit growth of 20 per cent, 10 per cent loan growth, revenue growth and bring down our cost to income ratio below 70 per cent mark. We would continue to focus on our returns. We are poised to take position on the good outlook of Africa in the coming year. We want to be an employer of choice and able to attract the best,” he said.

 

Source: ThisDayLive