GCB Declares ¢90.8 Billion As Dividends

Ghana Commercial Bank (GCB) has declared a dividend payout of ¢90.8 billion representing ¢550 per share to its share holders for the period 2006.

This amount is about 35.5 per cent of profit after tax and 37.5 per cent above that of last year which represents ¢400 per share. Dividend payout for 2004 stood at ¢375 per share.

Profit before tax for the period under review of the bank stood at ¢392 billion and represented a 68 per cent increase over the 2005 figure of ¢234 billion.

In addition, share holders' funds increased from ¢726 billion to ¢919 billion, an increase of 27 per cent.

Earnings per share was up 102 per cent to ¢1,576 from ¢782.

According to the bank, the performance in 2006 gives indication of a promising 2007.

It further indicated that information, communication and technology-based products would be given the needed attention to boost the fast development of the bank.

In response to the fall in investment returns, the bank had restructured its asset portfolio and placed more emphasis on the creation of loan assets as against investment assets.

Thus gross loans and advances of the bank rose ¢3,018.3 billion in 2005 to ¢3,761.8 billion in 2006. This represents an increase of 24.6 per cent.

Investment in government securities also increased by 19.2 per cent from ¢1,813.5 billion in 2005 to ¢2,162.2 billion in 2006.

From the Business Desk