Ecobank declares $0.16 dividend, signals return to shareholder payouts amid strong FY2025 performance

Business Pointers

By Seun Ibiyemi

Ecobank Transnational Incorporated has announced a final dividend of 0.16 US cents per share for the 2025 financial year, marking its first shareholder payout since 2023 and underscoring a rebound in earnings performance.

The dividend, which is subject to applicable withholding tax and shareholder approval, translates to approximately N2.15 per share at an exchange rate of N1,342 to the dollar.

This brings the total payout to about N52.8 billion, based on a weighted average of 24.59 billion ordinary shares.

Shareholders listed in the company’s register as of June 12, 2026, are expected to receive payments electronically on June 30, 2026, provided they have completed e-dividend registration with their registrars.

The bank stated that the proposed dividend represents a full-year payout and will be presented for approval at its Annual General Meeting scheduled for June 3, 2026.

The declaration signals a return to consistent shareholder value distribution after the group last paid an equivalent of 50 kobo per share for the 2022 financial year.

At the current share price of N61.20, the dividend implies a payout ratio of 5.84 per cent and a yield of 3.5 per cent.

Ecobank’s improved payout comes on the back of a strong financial performance for the 2025 fiscal year. Retained earnings rose sharply to N2.5 trillion from N1.7 trillion, contributing to total equity growth to N4.1 trillion from N2.7 trillion.

Profit after tax increased by 23 per cent to N914 billion, compared to N742 billion recorded in the previous year, driven by robust growth in both interest and non-interest income streams.

Interest income stood at N3.19 trillion, supported largely by loans to customers, investment securities, and treasury bills.

Meanwhile, non-interest revenue grew significantly, with fees and commissions rising 17 per cent to N1.02 trillion, while total non-interest income reached N1.58 trillion.

Overall, operating income climbed to N3.7 trillion, while operating profit rose 31 per cent year-on-year to N1.9 trillion after accounting for operating expenses of N1.8 trillion.

The strong earnings performance, alongside contributions from associates and diversified income sources, ultimately supported the group’s profit after tax of N914 billion for the year.

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