Capital Bank General Assembly approves cash dividend distribution of 15% of capital

Zawya

17-04-2025

During its ordinary annual meeting, the General Assembly of Capital Bank's shareholders approved the Board of Directors' recommendation to distribute cash dividends to shareholders at a rate of 15% of the bank's capital. The meeting was chaired by His Excellency Basem Khalil Al-Salem and attended by members of the Board of Directors, the General Controller of Companies Dr. Wael Al-Armouti, Hadeel Jbara, and Rawa'a Al Fraihat representing the Central Bank of Jordan, and Capital Bank CEO Mr. Tamer Ghazaleh.
The meeting, held via videoconference on Thursday, April 17, 2025, was attended by shareholders representing approximately 89.35% of the bank's subscribed and paid-up capital. During the meeting, shareholders approved the Board of Directors' recommendation to distribute cash dividends at a rate of 15% of the capital. They also approved the Board of Directors' report, the consolidated financial statements for 2024, and the group's future plans.
At the start of the meeting, Al-Salem stated his highest expressions of loyalty and allegiance to His Majesty King Abdullah II, stating his pride in His Majesty and his wise political and economic vision. He highlighted the strength and resilience of the Jordanian economy, which delivered solid performance in 2024, achieving a growth rate of 2.4% despite global economic and geopolitical challenges. He noted that the Central Bank's foreign reserves reached a record high of $21.1 billion last year. Al-Salem attributed this progress to the royal directives and solid economic policies, which have reinforced economic stability and strengthened investor confidence, both locally and among international financial institutions.
Speaking on Capital Bank Group's performance in 2024, Al-Salem emphasized that the group achieved strong growth across all key financial indicators. Net profits surged by a record 50%, reaching JOD 160 million, up from JOD 106 million in 2023, driven by the solid performance of the group's core businesses.
Al-Salem also praised the outstanding performance of the National Bank of Iraq, a key subsidiary that maintained its position as the largest privately owned bank in Iraq. The bank continued to expand its footprint and worked to complete all procedures to increase its capital from IQD 400 billion to IQD 520 billion by capitalizing retained earnings and issuing free shares to shareholders.. Its total assets reached IQD 5.1 trillion, and its customer base grew to 320,000. The bank further enhanced its digital operations, developed cash counting and sorting centers, and maintained strong partnerships with international financial institutions. The National Bank of Iraq's branch in KSA has continued to achieve significant growth in its customer base and has played a significant role in strengthening trade and economic ties between Jordan, Iraq, and Saudi Arabia.
Capital Bank CEO Tamer Ghazaleh highlighted the group's achievements during 2024. The balance sheet showed significant improvement, growing by 8.5% to reach JOD 8.2 billion at the end of 2024, compared to JOD 7.6 billion the previous year, while the customer deposits increased by 8%, rising from JOD 5.5 billion in 2023 to JOD 5.9 billion in 2024.
Ghazaleh stated that the return on equity reached 22.6% at the end of 2024, compared to 17.2% in 2023, which is considered one of the highest returns in the Jordanian banking sector, noting that the basic earnings per share for the year attributable to the bank's shareholders amounted to JOD 0.410 for 2024. It is worth mentioning that the Group's net operating income rose by 17% in 2024, reaching JOD 247 million, compared to JOD 212 million in 2023, while the net credit facilities portfolio remained stable at JOD 3.4 billion at the end of both 2023 and 2024, reflecting the effectiveness of the bank's strategy in maintaining financial stability and ensuring sustainable growth, while preserving portfolio quality.
Regarding subsidiaries, Ghazaleh highlighted the performance of Capital Investments, the group's investment arm, with the company's total asset management portfolio increasing by 26% to $1.1 billion by the end of 2024. Capital Leasing maintained its leadership in the Jordanian market by offering diversified leasing solutions, with its profits increasing by 46% at the end of last year.
On the topic of digital transformation, Ghazaleh highlighted the bank's significant progress in executing its digital strategy, in addition to investing in the adoption of modern technologies, including artificial intelligence, to provide innovative e-services. Blink by Capital Bank has also continued its steady growth, offering innovative digital banking services that contribute to enhancing financial inclusion and expanding its customer base. Ghazaleh also emphasized the bank's commitment to sustainability and social responsibility, focusing on supporting environmental projects, empowering women and youth, and implementing environmental and social governance standards to promote sustainable development.
During the meeting, the nominated members of the Bank's Board of Directors for the new session were announced. The winning members by acclamation for each category were: H.E. Mr. Bassem Khalil Salem Al Salem, H.E. Mr. Said Samih Taleb Darwazeh, the Social Security Corporation, The Safety First Investment Company (3 seats), Investments and Integrated Industries Holding Company, Hitaf Investment Company, Al-Jadara Real Estate Investment Company, Mr. Khalid Walid Hussni Nabilsi, Mr. Yousef Ali Yousef Al Nsour, H.E. Mr. Samir Zaid Samir Al-Rifai, and Ms. Dalia Abdel Azim Muhammad Wahba.
In his concluding remarks, Al-Salem reaffirmed Capital Bank Group's commitment to leading the way in innovative financial solutions, guided by an ambitious strategy focused on creating sustainable value for shareholders and supporting the national economy. He expressed his gratitude to the Governor of the Central Bank of Jordan, His Excellency Dr. Adel Sharkas, and his team, as well as to the General Controller of Companies, His Excellency Dr. Wael Al-Armouti, for their continued efforts and prudent policy that played a role in the financial and economic stability of the Kingdom. He also commended the Board of Directors for their strategic leadership, the executive management for their dedication to achieving the group's goals, and the employees of Capital Bank Group, who remain the cornerstone of its ongoing success.
Following the General Assembly meeting on Thursday, April 17, 2025, the newly elected Board of Directors of the bank convened and approved the appointment of His Excellency Mr. Bassem Khalil Al-Salem as Chairman of the Board, and His Excellency Mr. Said Samih Darwazeh as Vice Chairman. Their term will run from April 17, 2025, to April 17, 2029.