Lombard Bank yesterday reported a pre-tax profit of €10.64 million (Lm4.57 million) for the year ended 31 December, an increase of 18.1 per cent when compared to the €9.01 million (Lm3.87 million) registered during the previous year.

Net interest income increased by 26.7 per cent driven by growth of 23.9 per cent.

Net Fees and Commissions rose by 5.3 per cent following the growth in general volumes of business during the year.

Total operating income rose by 34.1 per cent and include a share of postal sales and service, since Maltapost plc became a subsidiary of the group in September.

Administrative Expenses reached €6.73 million (Lm2.89 million) including the relative share of expenses of Maltapost.

Shareholders’ funds increased by 14.8 per cent based on a post-tax profit of €7.07 million (Lm3.03 million).

Earnings per Share rose from €0.687 (29.5 cents) in 2006 to €0.822 (35.3 cents). Total Assets increased by 5.2 per cent to €505 million (Lm217 million) from €479 million (Lm206 million) in the previous year.

The board of directors is proposing a final gross dividend of €0.40 (Lm0.1717) per nominal €0.582343 (Lm0.25) share for approval by the general meeting. This represents a 37 per cent increase over last year’s dividend.

The board will also be recommending that shareholders be given the option of receiving their dividend either in cash or by the issue of new shares.