Ethiopia – Lion Bank profit surges 45 percent

Compared to the preceding budget year performance, annual gross profit (before tax) of Lion International Bank (LIB), one of the local private banks in Ethiopia, for the budget year ended June 30, 2019 surges 45 percent to 695.5 million birr (about $21.9 million at the current exchange rate).

The return on equity of LIB articulated as the ratio of profit after tax to average shareholders’ equity is 25 percent. This is indicated on the annual performance report of Lion, which is distributed to shareholders at the shareholders general assembly last week. The total revenue of LIB has increased to about 2.33 billion birr (about $73.2 million) during the budget year concluded June 30, 2019 from around 1.56 billion birr (almost $49 million) the previous year.

The report also stated that the Bank has incurred a total expense of 1.6 billion birr (about $51.3 million) during the budget year ended June 30, 2019, which is 52 percent up from the previous budget year. The total asset of the Bank has increased by 42 percent compared to the previous year and reached 20.4 billion birr (about $642 million).

With 41 percent increase during the budget year concluded June 30, 2019, the capital of Lion has also grown up to 2.6 billion birr (about $82 million), according to the report, which also indicated to 21 percent increase of its bank branches reaching 229 at the end of the budget year in review.

The total number of account holders at Lion has also reached 794,057 by the end of June 30, 2019 showing an increase of 34 percent from the previous budget year, while the total number of its ATM users has reached 48,896. The total number of employees of Lion International Bank has reached 4,599 at the end of June 30, 2019, according to the report.