28th Aug 2009 12:38
Diamond Bank Plc
Full Year Results for the twelve months ended 30 April 2009
DIAMOND BANK PLC REPORTS 11.2% INCREASE IN DEPOSITS AND CONTINUED PRUDENT BALANCE SHEET MANAGEMENT
LAGOS, NIGERIA - 28 AUGUST - 2009 Diamond Bank Plc, (Bloomberg: DIAMONDB NL) ("DiamondBank" or the "Bank"), the provider of comprehensive banking and other financial services to corporate and individual customers across Nigeria and Africa announces its results for the twelve months ended 30 April 2009.
Speaking from headquarters in Lagos, Emeka Onwuka, Managing Director of Diamond Bank commented: "This is both a critical and uncertain time for the Nigerian banking sector. Against this backdrop our focus on balance sheet and risk management has enabled us to be among the first five Nigerian banks to successfully complete the CBN's audit of the banking sector and report our full year results under the new CBN review system.
We believe that this is a testament to the strength of our bank and the commitment of all our staff. Our strong balance sheet position enables us to continue to execute our strategy of focusing on growth in the SME sector and servicing all our customers with the skill and care to which they have become accustomed."
Financial Highlights
Group Profit & Loss - continued profitability despite challenging environment
Gross earnings of N102.3billion, an increase of 87.7% (N54.5billion Apr 08)
Net interest income of N42.0billion, an increase of 79.9% (N23.3billion Apr 08)
Profit before tax of N5.9billion, a decrease of 63.6% (N16.2billion Apr 08)
Group Balance Sheet - growing deposits and controlled growth in risk assets
Total Assets up 9.0% to N682.1billion (N625.7billion Apr 08)
Loans and advances to customers up 18.7% to N285.3billion (N240.4billion Apr 08)
Customer deposits up 11.2% to N466.9billion (N419.7billion Apr 08)
Loan/deposit ratio of 67.5%
Key Ratios and per share data - stable NPL and cost ratios
Cost/income ratio stable at 57.5%
NPL ratio stable at 8.0%
ROAE of 4.5%
Risk adjusted capital ratio of 19.4% (all tier 1)
High liquidity ratio of 43.7% (CBN Statutory minimum of 25%)
EPS (diluted) of 36K
Proposed dividend of 9K per share
Strategic Business Units - Highlights
Regional Businesses
Our engagement with the real economy remained strong during the year, allowing us to initiate and conclude landmark transactions in the sugar-refining, hospitality and airline sectors.
In recognition of the changing operating environment each project opportunity has been rigorously stress-tested against multiple scenarios before initiation.
Our strong customer relationships, extensive knowledge of customers' business competencies and pro-active monitoring of credit risk support our positive outlook for the future.
Retail Banking
Major initiatives during the year include the launch of savings Xtra, which has proven to be highly popular with over 15,000 new accounts each month and a 50% annual increase in savings balance. In addition, the first Naira denominated credit card was launched, with transaction volumes of N4billion in the first 8 months of operations.
We have supplemented our extensive branch network with 500 sales executives who are proactively marketing the Bank to new customers, helping us to grow market share profitably.
Our ongoing strategy is to continue to deliver highly competitive, compelling propositions that add value to our customers' lives and business.
Corporate Banking
During the period under review we were proactively involved in landmark developmental projects embarked upon by the government in the construction sector.
To enhance the importance and potential of the agriculture industry and complement government efforts at bolstering the sector, the group supported investments in contemporary technology and infrastructure.
Benin & West Africa
Following the success of our Subsidiary DBB in the Republic of Benin since inception we have intensified our West African expansion strategy.
Already, we are on the verge of opening business offices in Togo, Senegal and Cote D'Ivoire with over N2.4 billion invested for the expansion project.
Our presence in these other West African Countries will enable optimal exploitation of business opportunities in the zone and help us provide convenient banking services to our group clientele involved in cross border trade.
(For the detailed Profit and Loss Account, Balance Sheet, Cashflow statement and notes to the accounts, please visit our website - www.diamondbank.com)
- ENDS -
Conference Call for Results
Diamond Bank Plc (Bloomberg: DIAMONDB NL) will be hosting a teleconference call for analysts and investors on September 9th, 2009 at 11 am UK time (6 am New York/ 11 am Lagos) with its senior management to announce Diamond Bank Plc's audited annual results for the twelve month period ended 30 April 2009. There will also be an opportunity at the end of the call for management to take questions from investors and analysts.
The teleconference call facility can be accessed by dialing:
+44 (0)20 7806 1957 in the UK
+1 718 354 1388 in the US
And then entering the following access code: 4447537
Participants should register for the call at least five minutes before the start of the presentation.
For those who are unable to listen to the live call, a replay facility will be available until 22 September 2009 by dialing +44 (0)20 7111 1244 (UK) and +1 347 366 9565 (US) and entering access code 4447537#
The presentation will be posted to Diamond Bank's website on morning of 9 September at www.diamondbank.com
- ENDS -
For further information please contact:
Chiugo Ndubisi [email protected] +234 (1) 262 6322
Monica Chibuzor-Osuji [email protected] +234 703 956 8204
Africa Practice / Financial Dynamics
London:
Ed Gascoigne-Pees ed[email protected] +44 (0)20 7269 7132
Paul Marriott [email protected]m +44 (0)20 7462 7252
Lagos:
Nick Chambers [email protected] +234 703 232 3089
Tim Newbold [email protected] +234 805 494 9866
Notes to editors:
About Diamond Bank plc
Diamond Bank Plc began as a private limited liability company on March 21, 1991 (the company was incorporated on December 20, 1990). Ten years later, in February 2001, it became a universal bank. In January 2005, following a highly successful Private Placement share offer which substantially raised the Bank's equity base, Diamond Bank became a public limited company. In May 2005, the Bank was listed on The Nigerian Stock Exchange.
Today, Diamond Bank is one of the leading banks in Nigeria* - respected for its excellent service delivery, driven by innovation and operating on the most advanced banking technology platform in the market. Diamond Bank has over the years leveraged on its underlying resilience to grow its asset base and to successfully retain its key business relationships.
In November, 2008 we adopted the regional business structure to ensure closer customer contact, enhanced relationship management and service delivery. Thus the Bank business development is structured as follows; Regional Businesses, Corporate Banking and Public Sector.
* Diamond Bank's A- rating by Fitch Ratings, Agusto & Co A+ , and GCR A+, reflects the bank's sustainable liquidity, sound and professional practices and good standing as a high investment grade institution.
More information can be found at www.diamondbankplc.com
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