Ecobank Transnational Incorporated (ETI), the holding company of the pan-African bank, has explained to the media, investment bankers, analysts and brokers the real “facts behind the figures” in a corporate briefing session in Accra. The company’s first quarter results showed gross revenue growth of 13 per cent to US$275.3 million (GH¢364,237 million) compared to the corresponding figures of last year. Revenue for the same period last year was US$243.2 million. However, profit for the period dipped slightly by five per cent to US$35.1 million (GH¢46.43 million) from US$37.05 million for the same period last year. However, according to Group Chief Executive Officer, Mr Arnold Ekpe, the company is “positive about the future prospects of the economies in which we operate despite the prevailing market conditions”. The company said there was a 28 per cent depreciation of the currencies of countries in which it operated, which obviously had an impact on operations. “We recorded a good set of results, strengthened our capital base and continued our strategy of pan-African coverage,” Mr Ekpe further added. Briefing a cross-section of journalists and brokers when the company took its turn at the “Facts Behind the Figures” programme on the floor of the Ghana Stock Exchange, Mr Ekpe was upbeat that the real results from its pan-African strategy would begin to bear fruits by 2011. “Our focus now is to be more efficient, ensure aggressive recovery and investing and training in our people to deliver better results,” he added. He said the bank had grown all its businessws since 2004, stating that revenue has grown by 45 per cent from US$25.1 million to US$1.2 billion by the end of last year, while assets had also grown by 95 per cent from US$1.9 billion in 2004 to US$8.3 billion by 2008. In addition, deposits have also grown by 45 per cent and the bank was well capitalised, in spite of the global financial market downturn. He said the bank had invested heavily in its pan- African strategy, and that he was optimistic that these subsidiaries would begin to deliver good results in the very near future. Ekpe made reference to the company’s expansion programme as some of the short -term challenges, and also the depreciated currencies of the countries within which it operated. But these challenges, according to him, also presented opportunities; it offered real opportunity to transform the bank’s operations so as to deliver on shareholders’ funds. As a result of the challenges, the company has adopted a strategy to invest in real estate business, for example, to hedge against exchange losses. Ghana, according to the group CEO, was a typical example of what an expansion programme of its subsidiaries could bring, alluding to the important and impressive contribution of the Ghana subsidiary to the group performance. “We are very well positioned for the future,” he stated, adding, “We have a strong balance sheet”. According to him, the bank intends to be among the top three banks in all its operations across Africa, with its subsidiaries powering ahead significant performance. The bank says it intends to slow down on its geographical growth, but the CEO also added that its subsidiaries would continue with their own strategic branch network. For instance, the Ecobank Ghana intends to grow its branches in the country to about 55 branches in the next few years from the current 19 branches. We intend to pursue growth, skills and ensure shareholder value, Mr Ekpe added. The group CEO stated also that its African strategy was critical to the success of its overall operations. From key indicators, it was clear that regional and cross-country trading contributed tremendously to business growth. For instance, according to the company’s own research, trade between individuals in Nigeria and Benin is around US$60 million which presents real opportunities to the bank. Therefore, the bank intends to play a part in this volume of business, and that with its strategic locations it has what it takes to facilitate effective trading activities. “Ecobank is a work in progress,” the CEO noted, stressing that across its business operations, there was tremendous growth potential, and that most African countries have witnessed these opportunities also. Ekpe was, therefore, upbeat that given the fact that bank was almost at the end of its geographical expansion programmes with the huge capital investments, results from the subsidiaries would begin to impact positively on the group performance in the next five years. GB