Page 34 - RB GRENADA ANNUAL REPORT 2025_ONLINE

34 • Republic Bank (Grenada) Limited 2025 Annual Report • EXECUTIVE REPORTS

Managing Director’s Discussion and Analysis

Profit after taxation ($M) Earnings per share ($)

25.00 23.63 8.00
6.26
20.00
15.52 6.00
15.49
15.00 4.12 4.10
10.39 4.00
2.75
10.00
6.81 1.80
2.00
5.00

0 0
2021 2022 2023 2024 2025 2021 2022 2023 2024 2025

The reduced profit resulted in Earnings per share decreasing to $4.10 from $6.26 in 2024.

The Bank’s principal performance indicators decreased in line with the reduction in profits. Return On Average Assets (ROA)
decreased to 0.66 percent from 1.10 percent and Return On Average Equity (ROE) to 6.03 percent from 6.67 percent.

Return on average assets (%) Return on average equity (%)

2.00 8.00
6.67
6.03
1.50 6.00
1.10 4.54
4.17 3.93
1.00 0.78 4.00
0.66
0.56
0.50 0.38 2.00

0 0
2021 2022 2023 2024 2025 2021 2022 2023 2024 2025

Interest income
The Bank continues to utilise excess liquidity within its risk appetite as a means of increasing Interest income. During fiscal 2025, all
categories of interest earning assets recorded increased Interest income.

Total Interest income increased by $7.68 million of which interest on investments accounted for $4.76 million or 61.91 percent. Loans
and Liquid assets accounted for $1.49 million or 19.35 percent and $1.44 million or 18.74 percent respectively.

All investments maturing during the year were reinvested. Maturity proceeds from some short-term instruments and excess liquidity
were utilised during the year to fund new long-term instruments. This was instrumental in achieving the $109.87 million or 29.36
percent increase in the gross portfolio positively impacting Interest income.