Last Updated 28 | 04 | 2014 at 17:24

Financial News

Lombard Bank Malta p.l.c. – 2014 Annual General Meeting

Article By: news

On Thursday 24 April 2014, the shareholders of Lombard Bank Malta p.l.c convened at the Exchange Buildings in Valletta to hold their Annual General Meeting. During the meeting the results of Lombard Bank Group for the financial year ended 31 December 2013 were presented and approved.

The Chairman, Michael Bonello, addressed shareholders and explained that the Board and Management of the Bank considered the performance of the Group to be a satisfactory one, notwithstanding the challenging operating and regulatory environment prevailing during the year. He reported that the Bank registered a 10% growth, to €10.5m, in profit before tax and impairment. Profit after tax was €4.1m, compared to €5.6m in 2012, following an impairment charge of €4.1m which reflected the Bank’s prudent application of provisioning criteria. He further explained that the Bank continued to pursue its strategy of seeking selective quality lending opportunities and the diversification of revenue sources coupled with prudent treasury management and the maintenance of a strong capital base.

The solid financial fundamentals of the Bank were confirmed with a Capital Adequacy Ratio of 19%, well above the required 8% as per Basel II and Liquidity ratio of 87.4%, compared to the statutory minimum of 30%. The Loan to Deposit Ratio was managed within prudential limits and, at the end of the financial year, stood at 63.7%.

At Group level, a profit before tax of €7.0 million was registered and Shareholders’ Funds increased by 2.2% to €79.3m while Total Assets stood at €610 million. Resolutions presented to the Meeting and adopted included the declaration of a final Gross Dividend of 4 cents per share (net dividend of 2.6 cents per share) amounting to a total distribution of €1.0 million as well as a bonus share issue of one share for every twenty held by those shareholders on the Company’s Register of Shareholders as at 27 May 2014.

The Board of Directors of the Bank is composed of Sophoklis Argyrou, Michael C. Bonello (Chairman), Graham A. Fairclough, Kimon Palamidis, Joseph Said, Christos Stylianides
and Michael Zammit.

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