Malawi Stock Exchange listed NBS Bank says it will pay its shareholders a total dividend of K13.21 billion representing K4.54 per share in respect of 2023 profits.
This represents a 37.8 percent increase from the K3.30 dividend per share distributed in the year 2022 after realising K9.60 billion total dividend.
The total profit-after-tax for the year 2023 was K29.38 billion from K18.9 billion in 2022 despite numerous challenges, including devaluation of the Kwacha.
Speaking at the NBS Bank plc’s 20th Annual General Meeting (AGM) in Blantyre on Friday, the Bank’s Board Chairman Vizenge Kumwenda said the ‘Caring Bank’ had an outstanding year as evidenced by the growth in profit by 55 percent.
“That was an excellent result especially if you consider the environment we operated in. In a highly inflationary environment, we had high interest rates, a shortage of foreign exchange, and logistical issues for people to do business. It was a very tough year.”
“So, with all that, we are happy to register the performance we have registered. Also, the shareholders, going by how the meeting has gone, are happy to have gotten a good dividend and the share price increased by 238 percent. That talks to the appreciation that investors are happy with the Bank’s performance,” said Kumwenda.
Kumwenda also added that the Bank has started on a good note in the first half of 2024 January to June where they expect their performance to be over 160 percent of what was achieved last year.
He is however optimistic that the second half performance will surpass the first six months of the year.
“The environment is still very challenging but we have confidence in our management and team that despite the challenges the second half should be equally good,” said Kumwenda.
Shareholder Frank Harawa, who is also General Secretary of the Minority Shareholders Association applauded NBS Bank Plc for the good performance.
“As shareholders, we are happy with the company’s performance and impressive capital appreciation. The issue of dividend payout is excellent as well,” said Harawa.
NBS Bank plc’s share price increased from K34 in the year 2022 to K114.90 by the year ending 31st December 2023.
“The environment is still very challenging but we have confidence in our management.”
Vizenge Kumwenda
NBS Bank’s Board Chairman
