Lion Bank profit up by 44%


Lion International Bank SC (LIB), one of the youngest private banks in the country, announced a 44 percent increase in profit in the past fiscal year when compared with the previous year.
The bank that opened its doors in 2009 has earned 150.6 million birr gross profit for the 2012/13 fiscal year,  a considerable increase from the 104.7 million birr it registered in the 2011/12 fiscal year.
According to LIB’s annual report, the bank earned 111.3 million birr net profit after tax, which was 75.4 million birr a year ago. According to the board of director’s report the 2012/13 fiscal year, earnings per share stood at 32.5 percent which is 7.87 birr per 25 birr share.. It was 29.2 percent in the preceding year.
The annual report indicated that during the year LIB dispersed 601.8 million birr in loans and advances, which raised the outstanding loan balance to 1.3 billion birr, registering an increase of 36 percent relative to the preceding year’s performance.
According to the report, the bank also successfully maintained the ratio of non-performing loans to total loans at 1 percent, which is a great achievement by any standard.
The bank’s deposit mobilization for the past fiscal year was 2.1 billion birr, a 21 percent increase over the 2011/12 fiscal year. From the total amount of savings in the bank, the saving deposits hold the lion’s share at 60 percent, while demand and fixed time deposits followed with 30 percent and 9 percent respectively.
The bank’s total assets stood at 2.9 billion birr, a growth of 19 percent over the preceding year, and the capital and reserve amounts of the bank reached 541.9 million birr. The paid up capital of the bank, which has 52 branches, increased to 374.9 million birr last fiscal year, from 335.9 million birr in 2011/12 fiscal year.
The report further indicated that in the past fiscal year Lion has been able to collect 65 million dollars, out of this amount 37 percent was generated from exports, 33 percent was related to cash purchases, 15 percent belongs to incoming transfers, 12 percent is from remittances and the remaining three percent is from different sources