Access Holdings Plc, one of Nigeria’s largest financial institutions, has emerged as the top dividend-paying company in 2024, boasting an impressive dividend yield of 9.74%. This marks a significant achievement in a challenging macroeconomic environment characterized by currency devaluation, inflationary pressures, and regulatory reforms.
Impressive Dividend Yield
Access Holdings’ dividend yield of 9.74% reflects its commitment to shareholder returns despite the volatile economic landscape. This outpaces other major players in the financial and non-financial sectors, reinforcing its reputation as a shareholder-friendly institution.
Key Highlights:
- Annual Dividend Per Share: ₦2.10.
- Market Price: ₦23.20 per share.
- Dividend Yield Rank: #1 among Nigerian publicly listed companies in 2024.
Factors Driving Strong Dividend Performance
1. Robust Financial Performance
Access Holdings reported impressive financial results for the year:
- Revenue Growth: Total revenue of ₦3.61 trillion, a YoY increase of 108.66%.
- Profitability:
- Operating margin of 30.28% highlights cost efficiency.
- Net margin of 22.73% reflects strong profit generation.
These metrics underpin its ability to maintain a high dividend payout.
2. Diversified Business Model
Access Holdings’ diversified operations across banking, asset management, and payment solutions have provided multiple revenue streams, insulating it from sector-specific risks.
3. Commitment to Shareholders
The company’s strategic focus on enhancing shareholder value is evident in its consistent dividend payments and its ability to balance reinvestment for growth with rewarding investors.
Comparison with Peers
Access Holdings’ dividend yield of 9.74% stands out when compared to other high-dividend-paying companies in Nigeria:
- MTN Nigeria (MTNN): 9.18% .
- Seplat Energy: 4.5% .
- Airtel Africa: 4.5% .
This makes Access Holdings a preferred choice for income-focused investors.
Outlook for Investors
Access Holdings’ strong dividend yield and robust financial performance make it an attractive option for dividend-seeking investors. With continued growth in revenue and profitability, the company is well-positioned to sustain its high payouts in the coming years.
Conclusion
Access Holdings’ leading dividend yield of 9.74% in 2024 underscores its financial strength and dedication to shareholder value. As the top performer in dividend returns, it remains a compelling investment for those looking for reliable income and exposure to Nigeria’s growing financial sector.
