13th Feb 2020 09:11
(Alliance News) - Bank of Georgia Group PLC on Thursday edged its full-year payout higher amid growth in net interest income and profit.
Bank of Georgia has upped its total dividend by 4.7% to GEL2.67 per share.
In 2019, net interest income was 6.7% higher at GEL789.4 million, about GBP211.7 million, from GEL739.6 million in 2018. Pretax profit surged 27% to GEL556.4 million from GEL437.5 million.
There was also 13% growth in assets under management at the year-end to GEL2.57 billion from GEL2.27 billion. Quarter-on-quarter, assets under management were 0.8% higher.
The FTSE 250 firm has retail banking and wealth management operations in Georgia.
Chief Executive Archil Gachechiladze said: "The Georgian economy continued to deliver strong real growth numbers, estimated at 5.2% for 2019. Overall tourist numbers continued to increase, despite a reduction in the number of tourists from Russia following the direct flight ban introduced in July 2019.
"The country's current account deficit reduced significantly to estimated 4.1% of GDP in 2019, down from the 2016 highs of 12.4%. While the impact of fewer Russian tourists on the economy has been small, the negative expectations have partly resulted in the 6.0% depreciation of the Georgian lari versus the US dollar since June 20, 2019, before strengthening in December and early 2020."
Bank of Georgia reported a 7.8% fall in net currency gain in 2019 to GEL119.4 million from GEL129.4 million in 2018.
"We remain very positive on the Georgian economy. Business confidence remains strong and, in October, S&P Global Ratings upgraded Georgia's sovereign credit rating by one notch to BB, a testament to the positive changes as a result of the government's recent reforms," Gachechiladze added.
Shares in the company were 6.6% higher at 1,736.69 pence each in London on Thursday morning.
By Eric Cunha; [email protected]
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