Ethiopia- Dashen Bank makes $40 million profit

Jan9,2020
Ethiopia- Dashen Bank makes $40 million profitEthiopia- Dashen Bank makes $40 million profit

Compared to the preceding budget year, the gross profit (before tax) of Dashen Bank, one of the biggest private banks in Ethiopia, has increased by 12 percent to about 1.28 billion birr (about $40.2 million at the current exchange rate) during the budget year ended June 30, 2019.

Meanwhile the earnings per share of 1,000 birr has slightly declined to 408 birr at the end of June 30, 2019 from 430 the previous year. The annual report of the Bank distributed to shareholders at the annual general assembly about a week ago shows that the revenue of Dashen has gone up 26 percent to 5.6 billion birr (about $176.1 million) at the end of June 30, 2019.



The expenses of the Bank has also increased to 4.31 billion birr (about $135.5 million) growing by 31 percent from the previous budget year.
The total asset of Dashen has also reached 56.2 billion birr (about $1.77 billion) at the end of June 30, 2019 showing 23 percent increase from the preceding year, according to the annual report.

It is also stated that loans and advances by Dashen Bank during the year in review has totaled 32.3 billion birr (close to $ 1.02 billion) with increase of 40 percent from the previous year.

Overall customer deposit has also increased by 24 percent reaching 44.7 billion birr (about $1.41 billion) witnessing 24 percent growth from the previous year. The report also shows that primary capital of Dashen Bank has shown 38 percent increase from the previous year reaching 5.46 billion birr (about $171.7 million) at the end of June 30, 2019.

“Dashen Bank is currently focusing on investing in various long-term and strategic investments in infrastructure, capacity and human capital to build foundational capabilities, which will serve as a stepping board for our future growth,” said Asfaw Alemu, CEO of Dashen Banks Share Company, in his message to the shareholders published on the annual report.

“Our key priorities going forward include the continual development and optimization of our customer offerings, improvement of our consumer experience across channels and seizing digital opportunities to provide innovative solutions. We will also continue our strong focus on becoming more efficient and reducing cost, while maintaining a prudent risk profile,” he said.

With a total of 355 automatic teller machines (ATMs), 1,307 point of sale terminals across Ethiopia and 413 branches at the end of June 30, 2019, Dashen Bank is the largest private bank in the country. Within one year period it has also increased the total number of Amole, digital payment application of Dashen Bank, to about one million from about 75, 000.

At the end of the year in review the total number of employees of Dashen Bank has reached 9,733 from 8950 the previous year, according to the annual report.

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