Lion Finance Group PLC (LSE:BGEO) shares roared 11.1% higher to a new all-time high above 5,900p as the Georgia and Armenia banking group reported strong profit growth in the final quarter of 2024.
Operating income of 1.03 billion Georgian lari (GEL) in the fourth quarter was up 57% year-on-year and profit before tax jumped 53% to GEL 612 million.
For the full year, operating income rose 41% to GEL 3.56 billion and adjusted PBT 33% higher to GEL 2.18 billion.
The group CET1 capital ratio was 17.1% at year end, from 17.2% at the end of September.
The group recently changed its name from Bank of Georgia Group to Lion Finance to "better reflect the group's broader geographical presence" after its acquisition of Armenia's largest bank, Ameriabank, during the year.
Ameriabank's standalone profit, which was not consolidated into the wider group results, was GEL 416.1 million.
The board intends to recommend a final dividend of GEL 5.62 per share for 2024, bringing the total to GEL 9.00 per share, up 12.5% on the prior year, and has approved a further share buyback of GEL 107.7 million
Chief executive Archil Gachechiladze said Bank of Georgia maintained higher-than-usual liquidity levels as "political developments in Georgia have been top-of-mind recently", though the economy continued to be robust, with expectations for real GDP growth remaining around 5% for 2025, after the 9.5% achieved in 2024.
This higher reinforcing resilience while resulting in associated costs, which slightly drove down the net interest margin in the fourth quarter, while the core lending margin remained stable