FBN Tickles Investors with Dividend, Bonus

The Board of First Bank of Nigeria (FBN), last week, announced the audited results for the year ended 31 March 2009. The result showed a profit after tax of N12.6bn, with a recommendation of a dividend payout of N1.35 and bonus of 1 for 6 ordinary shares held. The result has been submitted to the Nigerian Stock Exchange (NSE) and is expected to be approved by shareholders at the bank’s 40th Annual General Meeting billed for Abuja on August 20, 2009.

The result, is being applauded by stakeholders for various reasons, one being that the bank adopted the International Financial Reporting System (IFRS) in arriving at the result. This full disclosure saw the bank make a provision of N26.1 billion for the diminution of asset value as a result of the levels of volatility in the capital markets in the year under review.

Oladele Oyelola, the bank’s Chief Financial Officer, commented on the results thus: “We proactively made this level of provision and full disclosure in line with international best practice and in keeping with our tradition of good corporate governance, prudence and conservatism.”