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DTB raises dividend to Sh1.96bn on higher profits
Nasim Devji, the Group CEO of Diamond Trust Bank (DTB), speaking during a past event at DTB Sarit Centre Branch at Westlands in Nairobi on December 17, 2022.
Diamond Trust Bank (DTB) Group has increased its dividend per share for the fourth straight year to Sh7 on the back of an 11 percent rise in net profit to Sh7.64 billion for the year ended December 2024.
The latest dividend of Sh1.96 billion is an increase from the Sh1.68 billion paid in the previous year when a net profit of Sh6.88 billion was realised.
“For purposes of payment of the dividend, the share register of the bank will be closed on 23 May 2025 and payment of dividend due to shareholders on the register as at the close of business on 23 May 2025, will be made from 27 June 2025,” said DTB in a commentary accompanying the financial results.
The Sh7 per share dividend is the highest ever for the lender and marks a more than doubling of the Sh3 it paid for the year ended December 2021.
The increased payout is in line with DTB’s promise to shareholders that it would progressively increase the dividend payout ratio on the back of improved performance and a balance between rewarding shareholders and conserving capital to fund growth.
During the review period, the lender’s net interest income rose to Sh28.39 billion from Sh27.57 billion, while non-interest income rose to Sh13.04 billion from Sh12.15 billion.
The lender also booked a reduction in operating expenses to Sh30.16 billion from Sh30.87 billion as it followed the industry trend in cutting the provisioning for non-performing loans.
DTB slashed loan loss provisions by 15.5 percent to Sh8.7 billion from Sh10.32 billion, while staff costs rose to Sh9.82 billion from Sh8.54 billion on the back of increased headcount and salary increments. The lender continued to expand last year, opening new branches across the country.
The group’s loan book declined to Sh285.29 billion from Sh308.45 billion, partly due to the impact of the dollar-denominated loans whose local currency equivalent reduced as the shilling gained value against the dollar.
