Republic Bank profits drop below 2016 figures

Half-year report
Republic Bank Guyana Limited has, over a six-month period ending March 31, 2017, recorded an after-tax profit of .3 billion; million, or 4.5 per cent, less than the corresponding period for 2016.
The bank’s unaudited half-year financial statement has declared this decrease due mainly to an increase in the bank’s provisions for loan losses, amounting to $109 million.
The statement also reported that an interim dividend of $1.28 per stock unit would be paid.
Republic Bank’s Chairman, Nigel Baptiste, has assured that despite the challenges the bank faces with the economy, the bank would maintain its focus on profitability. He said: “Notwithstanding the current challenging economic environment, your bank will continue to focus on its growth objectives, containment of operating expenses, and the application of sound risk management practices.”
While the bank has been turning profits, there has been a noticeable decline in those profits over the past few years. According to Republic Bank’s audited third quarter financial statement in 2016, the bank failed to exceed its 2015 profits by more than $100 million.
The company in 2015 earned just over $4.3 billion before taxes, winding up with a $2.8 billion profit. In 2016, however, the company returned a profit of just about $2.7 billion, and paid almost $1.6 billion in taxes, compared to just over $1.4 billion in taxes in 2015.
Republic Bank’s audited financial statements did report an increase of almost $10 billion in the company’s asset holdings. Increases were recorded in the company’s cash in hand, deposits, and treasury bill holdings.