The Agricultural Development Bank (ADB) in terms of profit growth performed remarkably well for the year 2020.
ADB for the year under review reported an astonishing 441 percentage points increment in profits, as its profit grew from Ghs 14.8 million end-2019 to Ghs 65.4 million end-2020.
The increment in the bank’s profit for 2020 as seen in ADB’s 2020 Financial Statements by norvanreports, are attributed to increments in the bank’s net interest income and operating income.
ADB’s total assets value also an increase of some Ghs 1.2 billion on a year-on-year basis, as total assets value increased from Ghs 4.5 billion in 2019 to Ghs 5.7 billion in 2020.
Total liabilities on the other hand, also increased by a little over Ghs 1 billion. Shareholders’ equity for the period under review increased marginally from Ghs 793 million to Ghs 850 million.
Shareholders, on the back of the strong profit growth enjoyed a corresponding growth in dividends payment as dividends paid increased to 0.24 pesewas per share end-2020 from 0.5 pesewas end-2019.
The bank’s loan asset quality over the period from 2019 to 2020 improved, with Non-Performing Loans (NPLs) amounting to 34 percent of total loans made end-2020 as against the 41 percent of total loans recorded end-2019.
ADB’s Capital Adequacy Ratio (CAR) however, declined by 1.58 percentage points from 16.45 percent in 2019 to 14.87 percent in 2020.
Despite the fall, the bank’s CAR is still above the regulatory 13 percent.
