First Citizens’ profit after taxation fell by 60 per cent for the three months ended June 2020 when compared to the same period last year.
According to First Citizens’ unaudited financial statements for the three months ended June 2020 profit after taxation was $62.225 million.
First Citizens’ profit after taxation for the same three months last year was $158.098 million.
T&T recorded its first case of COVID-19 on March 12.
“As the world continues to grapple with uncertainties brought about by the COVID-19 crisis, the negative impact on our economy and the communities we serve are becoming more evident,” Anthony Smart said in the chairman’s review.
“These challenges are reflected in our third quarter year-to-date Profit After tax of $467 million, which reflects a 15.6 per cent decline compared to the corresponding 2019 fiscal period,” he stated.
“After three months of restrictions on movement to prevent the spread of the virus, with the commensurate impact on the business environment, our informed impairment assessment, in accordance with International Financial Reporting Standard (IFRS) 9, has resulted in a $140 million increase in Expected Credit Losses for the quarter ending June 30, 2020. We remain guided by the IFRS 9 standard which will inform any further adjustments,” he stated.
The First Citizens Group said it is conscious of its wider social responsibilities and is committed to providing support to its customers to assist with navigating through this difficult period.
“Thus far, our customers have benefited from one or more special relief concessions that include deferral of loan payments, waiver of fees, reduction in interest rates and increased advances in credit cards,” Smart stated.
“The Group implemented measures across our operations to reduce the risk of COVID-19 spread; including the installation of acrylic safety shields and sanitation stations, upholding physical distancing guidelines and encouraging the usage of digital and electronic banking channels,” he stated.
The Board declared an interim dividend of 20 cents per ordinary share which brings the total interim dividend for the nine-month period to 92 cents per share.
The total interim dividend for the corresponding period last year was $1.21.
The dividend will be paid on August 28 to shareholders on record as at August 13.