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Diamond Bank declares N8.4bn profit for Q1

By BusinessNews Staff on April 13, 2014

Diamond Bank Plc has announced a profit after tax of N8.447bn for the first quarter of 2014.

The amount represents a 34 per cent rise on the N6.289bn PAT it posted for the same period of 2013.

According to the bank’s ‘Statement of financial position as of March 31, 2014’, which was posted on the Nigerian Stock Exchange website, its profit before tax for the period under review was up by six per cent.

It rose from N8.735bn in the first quarter of 2013 to N9.241bn in the review period.

In the same vein, Diamond Bank’s total assets rose by four per cent from N1.519tn to N1.584tn.

In a statement, obtained by our correspondent on Friday, the bank said its ‘strategic partnerships and innovative product mix’ played a part in the performance.

The statement read in part, “Following the release of our 2013 financial year results, Diamond Bank is pleased to announce a further confirmation of our capability in sustaining profit growth in 2014.

“Our balance sheet continued to grow on the back of efficient and sustainable growth in our retail business, while we continued to maintain cautious growth in our loan portfolio. Our strategic partnerships and innovative product mix has helped us maintain our growth trajectory in our chosen markets.”

The bank added that it was encouraged by the improvements recorded in its profit despite the tight monetary policy stance of the Central Bank of Nigeria and promised to remain committed to its goals.

It said, “These achievements have resulted in improved profitability in Q1 2014, with PBT rising six per cent year-on-year despite the impact of Cash Reserve Requirement charge on our earnings.

“We are encouraged by these results and we will sustain the commitment to continue delivering healthy shareholder returns in 2014 and beyond.”

Diamond Bank Plc had recently announced a 29 per cent growth in its profit after tax for the year ended December 31, 2013 as well as a 16.7 per cent increase in profit before tax to N32.1bn for the year.

Consequently, it proposed a dividend of 30k per 50k ordinary shares for the financial year, with the Managing Director, Diamond Bank, Dr. Alex Otti, being quoted as saying the result was rooted in the bank’s ability to attract low-cost deposits and deploy them into various assets at profitable yet acceptable risk levels.

[Punch]

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