31st Jul 2018 06:18
LONDON (Alliance News) - Asia-focused financial group Standard Bank PLC reinstated its interim dividend Tuesday as profit, return on equity and solvency ratio all improved, amid growth across its key areas.
For the six months ended June, pretax profit rose 35% to USD2.37 billion from USD1.75 billion the year prior. This was after operating income increased by 6.0% to USD7.65 billion from USD7.22 billion the year before.
Return on equity expanded to 6.7% from 5.2% the year prior. Common equity tier 1 ratio also improved to 14.2% from 13.8% the year before.
"The group performed steadily in the first half with encouraging progress on several fronts," Standard Chartered Chief Executive Officer Bill Winters said. "Income from key areas of focus continues to grow strongly, we are investing in exciting new initiatives, and our strengthened risk discipline is paying off. Our return on equity improved to 6.7% as a result, reinforcing our confidence that we will exceed 8% in the medium term and underpinning the board’s decision to resume the interim dividend."
Standard Chartered proposed a 6.0 US cents interim dividend per share, having not paid one since 2015.
"The macroeconomic environment continues to be supported by solid growth fundamentals across our markets but, concurrently, challenged by increasing uncertainty resulting from escalating trade frictions and geopolitical risks," Winters added. "We therefore remain cautiously optimistic on global economic growth."
"We have committed to delivering a differentiated proposition for all our stakeholders, and to generating the sustainably higher returns of which we know this unique franchise is capable", Winters continued. "Our long-term focus in this regard in no way diminishes our sense of short-term urgency. We have been on a transformation tear these last few years and will not slow down a bit."
Related Shares:
Standard Chartered