FBN Holdings grows profit by 56.3% to N49.5b

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FBN Holdings grows profit by 56.3% to N49.5b
July 30, 2020

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FBN Holdings has posted N49.5 billion profit after tax for the half-year ended June 30, 2020. The result represents 56.3 per cent growth, compared with N31.6 billion achieved by the group during the first half of 2019.

Further analysis of the unaudited results showed that gross earnings rose 5.8 per cent to N296.4 billion, as against N280.3 billion in same period of last year. Net-interest income of stood at N131.3 billion, down 7.4 per cent, compared with with N141.7 billion achieved last year while non-interest income stood at N80.1 billion, up 46.8 per cent year-on-year.

The group’s profit before tax of stood at N41.4 billion, up 14.3 per cent year-on-year, compared with N36.2 billion achieved in 2019. It also recorded total assets of N7.1 trillion, up 14.9 per cent year-to-date  compared with N6.2 trillion achieved in 2019 while customer deposits stood at N4.4 trillion, up 8.8 per cent yer-to-date when compared with N4 trillion achieved in last year.

It also recorded a non-performing loan ration of  8.8 per cent, an improvement from 9.9 per cent recorded in December 2019 while marinating  16.5 per cent Basel 2 Capital Adequacy Ratio as against 15.5 per cent last December.

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The group’s Firstmonie Agent banking network grew to over 59,000, further reaffirming FirstBank’s undisputed agent banking leadership, strong retail franchise and wide coverage.

Commenting on the results,  the Group Managing Director of FBNHoldings, Urum Kalu Eke, said:  “The first half 2020 financial results are impressive and reconfirm our consistent focus on enhanced shareholder value. Despite the difficult operating environment, the H1 results demonstrate our resilience and capacity to deliver on long-term ambitions.‘’

The 56.3 per cent year-on-year growth in profit after tax for the period is a testament to the strength of our organisation to continually deliver exceptional services to our customers in these unprecedented times. We have been able to achieve this feat by leveraging our agent banking network, innovative e-

Commercial Banking  segment of the bank also achieved gross earnings of N278.7 billion, up 6.1 per cent year-on-year compared with N262.8 billion recored in June 2019.

Commenting on the results, the Chief Executive Officer of FirstBank and its subsidiaries,  Adesola Adeduntan, said: “Over the period, the commercial banking group increased its year-on-year growth in gross earnings and profit before tax by 6.1 per cent and 9.2 per cent respectively, despite the economic shutdown during the quarter and varying degrees of challenges in the operating environment”.