Access Holdings Pledges 122% interim Dividend Hike after Shareholder Push
Samuel Mobolaji
Access Holdings Plc has committed to increasing its interim dividend payout by 122 per cent to N1 per share in 2025, bowing to mounting pressure from shareholders who demanded stronger returns following the Group’s solid 2024 financial performance.
The assurance was given by Acting Group CEO, Bolaji Agbede, at the company’s 3rd Annual General Meeting (AGM) held on May 15, 2025. Responding to calls for higher dividends, Agbede stated, “We will be able to do N1 interim dividend, and we will go the extra mile in delivering,” citing the bank’s stable earnings base across its African and global subsidiaries.
If fulfilled, the proposed N1 interim dividend would mark Access Holdings’ highest-ever mid-year payout and more than double the 45 kobo it paid in 2024 — already a record at the time. It would also align the bank’s performance more closely with tier-one peers such as Zenith Bank, GTCO, and UBA, all of which paid N1 per share in interim dividends in 2024.
Access Holdings posted an earnings per share (EPS) of N16.71 in 2024, trailing Zenith Bank (N32.87), GTCO (N35.44), and UBA (N21.73). Yet, shareholders have grown more assertive in demanding improved rewards, especially after banks posted windfall profits last year from foreign exchange gains triggered by the naira’s devaluation.
The rising dividend expectations reflect not just improved headline numbers, but also investor scrutiny of how much of the profits are in cash versus non-cash components — a key determinant of actual dividend capacity.
During the AGM, shareholders also approved a final dividend of N2.05 per share for 2024, as announced by the Board in April. Combined with the earlier interim dividend, Access Holdings declared a total dividend of N2.50 for the year. At a share price of N22, this represents a yield of 11.36 per cent and a payout ratio of 19.51 per cent — a reflection of the Group’s ongoing commitment to shareholder value, despite economic headwinds.
The N2.05 final dividend equates to a payout of N109.3 billion, bringing the Group’s five-year cumulative dividend to N317.2 billion with an average payout ratio of 23 per cent and a compound annual growth rate of 44.9 per cent.
A key highlight of the AGM was the failed attempt to pass a composite resolution on the re-election of directors, which was eventually split into individual motions to allow separate votes on each nominee.
Looking ahead, the Group’s unaudited Q1 2025 results show a post-tax profit of N182.75 billion, up 14.7 per cent year-on-year, and already 28.5 per cent of 2024’s full-year profit. Combined with the interim dividend promise, these results point to a strong start to the year and signal that Access Holdings is on course to deliver enhanced shareholder value in 2025.
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