|
On Friday afternoon, the Board of Directors of Bank of Valletta issued a company announcement giving the full year results for the bank. The directors also announced a final gross dividend of 11cents per share payable to those shareholders that will be on the official register on 8 November 2006.
The interest income for the full year shot up Lm100 million for this year against the Lm89 million reached last year. This is an increase of 12%.
After deducting the interest expense, the net interest income was Lm49 million which is a margin of 49%.
Net commission income increased but trading income by the bank decreased by 30%. Operating expenses increased slightly but the bank experienced a drastic decrease in net impairment losses. This year’s charge is 39% of the last years figure. BOV enjoyed an increase in the share of profits from associate and joint controlled entity which is Middlesea Valletta Life Assurance.
Overall the profit for the year reached Lm38 million which after deducting tax stands at Lm26.2 million around Lm8 million more than last year. In fact the earnings per share is now 23c3 which at Friday’s closing price of Lm4 brings the price earnings ratio to be at 17 times.
The Banks Balance Sheet got stronger with loans and advances to customers exceeding Lm987 million and customer deposits reached Lm1673 million. The bank’s cash flow has also improved and the value of cash and its equivalents reach Lm195 million.
The return on equity of the bank is 25.2% rising from 19.1% of last year.
A full analysis of the results will be given in the next edition of Business Today next Wednesday.
|
