UBA shareholders approve bank’s N19.9billion dividend

Shareholders’ of United Bank for Africa Plc, (UBA) at the weekend, unanimously approved the bank’s N19.9 billion dividend for the 2016 financial year.

The dividend pay-out translated to a final dividend of 55 kobo per share, in addition to the 20 kobo interim dividend earlier paid by the bank, thus, bringing the total dividend to 75 kobo against 60 kobo declared in 2015.

The shareholders gave the approval at the 55th yearly general meeting held in Lagos at the weekend, lauded the bank for sustaining its dividend policy over the years.

Specifically, the President, Association for the Advancement of the Rights of Nigerian Shareholders, Dr Farouk Umar, commended the board and management for improved performance and ability to sustain dividend policy.

Umar noted that the board had tried to sustain the bank’s mission of creating superior value for the stakeholders, abiding by ethical standard and building an enduring institution.

He, however, stressed that the bank’s share price was undervalued, while urging the board to ensure proper value of the share price on the Exchange.

The immediate past Chairman, Ibadan Zone shareholders Association, Shola Aboderin, commended the bank for the dividend declared amid harsh operating environment, noting that the bank’s earnings, profit before tax and capital adequacy ratio were impressive irrespective of the economic headwinds.

He also appreciated the bank for financing a lot of projects during the period under review, noting that, it had added value to Nigeria and Africa as a whole.

The Chairman, UBA, Tony Elumelu, said the company’s performance in capital adequacy and risk management illustrated the board’s commitment to good corporate governance practice.

Elumelu said the bank would focus on customer needs by delivering customer excellence to create sustainable shareholder value, adding the bank would remain committed to enhance dividend to all stakeholders.

The bank’s Group Managing Director, Kennedy Uzoka, attributed its growth to the culture of innovation and investment in most relevant new technologies and human capital.

Uzoka said UBA was no longer only a Nigerian but a Pan-African bank; the only one that operates in the U.S.A., and urged investors to embrace the bank.

The bank posted gross earnings of N383.65 billion during the year under review against N314.84billion achieved in the previous year, an increase of 22 per cent. Profit before tax stood at N90.64 billion in contrast with N68.45 billion in 2015, representing a growth of 32.4 per cent. Profit for the year increased by 21.1 per cent to N72.26 billion from N59.65 billion in the comparative period of 2015.