FBN Holdings Profit Skyrockets by 48% in H1-2022
FBN Holdings Plc sees a meteoric profit jump in the first half of the financial year 2022, according to a regulatory filing on the Nigerian Exchange with gross earnings rising 22.4% to N359.2 billion from N293.4 billion recorded in the comparable period of 2021.
The financial services company’s profit before tax of N65.7 billion from N45.2 billion was achieved in the corresponding period of 2021, an increase of 45.3 per cent. The company’s profit for the period stood at N56.5 billion against N38.1 billion posted in the comparative period of 2021, representing an increase of 48 per cent.
Commenting on the result, the Group Managing Director, Mr Nnamdi Okonkwo, said that the company demonstrated resilient performance despite the challenging operating environment.
“FBN Holdings continues to demonstrate resilient performance despite the challenging operating environment with an impressive improvement in revenue and profitability.
“For the half year 2022, gross earnings and profit before tax grew by 22 per cent and 45 per cent to N359.2 billion and N65.7 billion respectively.
“Furthermore, we continue to see good progress across our performance metrics, which remain in line with our focus on driving sustainable growth.
“The Group remains committed to its transformation drive, which has resulted in a stronger balance sheet and better asset quality with non-performing loans closing at 5.4 per cent at H1 2022.
“Similarly, risk management capacity remains robust across the Group supporting the drive for enhanced earnings for sustainable capital accretion,” Okonkwo said. He said that the company would continue to deliver sustainable value to its stakeholders.
“Our strategic intent remains unchanged in optimising opportunities that drive growth in revenue, profitability, capital accretion and overall operational efficiency that delivers sustainable value to our stakeholders,” Okonkwo said.
Also speaking, Dr Adesola Adeduntan, the Chief Executive Officer of First Bank of Nigeria Ltd., said that the commercial banking group remained focused on executing key initiatives to position the Group for improved profitability in 2022, amidst a challenging operating and dynamic regulatory environment in H1 2022. READ: FBN Holdings wins World Finance Best Corporate Governance Award
“Our half-year results further reinforced our drive toward our ‘Quantum Profitability Leap’ agenda. Our gross earnings are up 22.6 per cent to N338.5 billion and net interest income up 49.3 per cent to N152.9 billion, respectively.
“On the back of the impressive growth recorded in our top line, our profit before tax recorded a strong growth of 40 per cent to N60 billion.
“Profit after tax also grew by 42.3 per cent to N53.3 billion as the bank continues to reap the dividends of the successful restructuring of its balance sheet and revamping of our risk management architecture.
“We continue to record progress in driving down our non-performing loan ratio which now stands at 5.4 per cent at the end of H1 and we are on target to bring it within the regulatory limit of five per cent by end of 2022,’’ he said.
Adeduntan expressed the confidence that the current momentum of generating impressive returns from the quality risk assets portfolio already created would be sustained.
“We will continue to strengthen our dominant digital banking capabilities in providing best-in-class services to all segments of our customers across all our footprints in sub-Sahara Africa and beyond,” he said. # FBN Holdings Profit Skyrockets by 48% in H1-2022.