TAJBank Pre-tax Profit Grows By Over 300% In 2022

Nigeria’s non-interest bank, TAJBank Limited has set a new record in the nation’s banking system with the payment of dividend to its shareholders three years of its operations, the bank said in a statement.

Addressing the shareholders at the meeting, the board chairman, Alhaji Tanko Isiaku Gwamna, recounted the global economic whirlwinds in the past two years as well as the macroeconomic developments in the nation’s economic space, especially the surging inflation rate, with the attendant negative impacts on businesses.

Gwamna maintained that despite the inclement operating environment, the board and management of the bank were able, through innovation and proactive strategies, to sustain TAJBank on the path of sustainable growth and financial stability for the benefits of the shareholders and Nigeria’s economy

On the dividend issue, he said: “On behalf of the Board, I am pleased to inform our shareholders that we have recommended a scrip dividend payment of 1 share for every 10 shares, subject to shareholders’ approval. We remain committed to promoting business expansion and success while making sure that a sizeable amount of our profits is set aside for you.”

In his report, the bank’s managing director/CEO, Mr. Hamid Joda, described the full year 2022 as a significant milestone in the journey of the non-interest lender despite the headwinds that characterized the operating environment as the management was able to deliver on key strategic goals through relentless execution, backed by a positive culture and delivery on high-impact projects.

On the bank’s financial performance in FY 2022, Joda reported that TAJBank recorded remarkable growth across key indices during the year as its balance sheet grew by over 93 per cent from N110 billion recorded in FY 2021 to N212 billion while its Profit Before Tax (PBT) also surged from N1.6 billion in FY 2021 to N5.081 billion in 2022 financial year.

He also told the excited shareholders that the bank’s earnings per share grew by 138 per cent to N31.27 kobo in FY 2022 compared to N13.11 kobo recorded in FY 2021.

On the plans to further grow the bank in the years ahead, Joda, the award-winning banker, said: “In our relentless effort to promote non-interest products and modes of banking nationwide, the Board and management of TAJBank have set key objectives for the year 2023 and beyond.

“These initiatives include, inter alia, to promote financial inclusion by leveraging various channels and touchpoints, especially our electronic platforms with the aim of reaching out to the unbanked populace; and to be recognized as the market leader in the non-interest banking industry in Nigeria,

“We also plan to open 110 branches across state capitals/major commercial centres before 2024 and to offer non-interest banking products and services to underserved markets; to grow our agency network to 100,000 active agents by 2025 thereby reducing the financial exclusion rate; to grow our customer base to at least four million by 2027; and to achieve a minimum customer satisfaction score of 85 percent,” he in the statement.

A financial expert and an independent non-executive director of the bank, Alhaji Tata Shekaru Omar, lauded the board and management for innovatively positioning TAJBank at the leading edge of competition in the nation’s increasingly dynamic financial services market.

He enthused: “TAJBank is just barely four years of age and that it was able to make profit in its first year of operation is great and cheery news for all its stakeholders. I want to say kudos to the MD and the entire team for such a feat, especially that the bank is now giving out dividends to shareholders.

“TAJBank deserves the congratulations it is getting as an institution because it has achieved a lot and this needs to be commended. The bank has continued to make great strides and now it is even expanding in terms of branches. TAJBank continues to make a statement that non-interest banking is here to stay and the way to go,” he added.