Posted by This Day Online on
Hallmark Bank Plc has posted a pre-tax profit of N1.43 billion for the year ended March 31, 2005, indicating an increase of 63 per cent over the N879.56 million of the previous year.
Hallmark Bank Plc has posted a pre-tax profit of N1.43 billion for the year ended March 31, 2005, indicating an increase of 63 per cent over the N879.56 million of the previous year.
Further analysis of the results, shows that the bank also recorded a tremendous growth in other performance indices.
While post-tax profit moved up by 94 per cent, from N603.5 million to N1.16 billion, gross earnings grew by 83 per cent, from N9.94 billion to N18.2 billion, indicating that Hallmark Bank recorded more customer patronage during the period under review in spite of on-going consolidation and crash in interest rates that had led to a lull in business activities during the period under review.
In the same vein, total assets of the bank swelled by 102 percent, from N47.87 billion to N96.81billion, total deposits moved up by some 263 per cent, from N23.4 billion to N84.9 billion, while shareholders' funds rose by 19 per cent, from N8.88 billion to N10.05 billion.
Similarly, in addition to more than N500 million currently standing in the small and medium scale industries reserve account before March 2005, an additional provision of N 116.36 million from the 2005 profit has been set aside to further boost activities in that sector in line with directive of the Central Bank and the Bankers Committee.
This banks's stellar performance appears to have provided an insight into what existing and prospective shareholders of the bank should expect after Hallmark eventually consolidates with it merging partner - Allstates Trust Bank, which currently in the market to raise fresh funds.
Meanwhile, the management of Hallmark Bank are already putting finishing touches to plans to raise additional N15 billion from the capital market.
The shareholders had at the last Extra Ordinary General Meeting in Lagos, mandated the Board and Management of the bank to raise additional equity from the capital market to meet the Central Bank of Nigeria's directive on minimum capitalization for banks.
In the next few weeks Hallmark Bank would be rolling out an offer for public subscription in an effort to beat the December 31, 2005 CBN deadline.
With over 50 branches located in various parts of the country Hallmark Bank offers one of the fastest international cash remittance services in the country, having been appointed MoneyGram direct agent in Nigeria.