FBN Holdings profit up by 31.4%

FBN Holdings Plc has announced an increase in its profit after tax by 31.4 per cent to N59.7bn at the end of December 2018, from N45.5bn in the corresponding period of 2017.

In a statement, it said its profit before tax also rose by 19.7 per cent year- on -year to 65.3bn at the end of 2018, from N54.5bn in 2017.

It added that its gross earnings fell by two per cent YOY to N583.5bn in the period under review, from N595.4bn in 2017.

The group said its net-interest income fell by 14.3 per cent YOY to N284.2bn, from N331.5bn in the previous financial year.

Its non-interest income rose by 15.8 per cent YOY to N131.7bn, from N113.7bn; while operating income fell by 6.5 per cent to N415.9bn, from N444.8bn in 2017.

It further stated that, impairment charges fell by 42.2 per cent YOY to N86.9bn, from N150.4bn; while operating expenses rose by 9.7 per cent YOY to N263.7bn, from N240.3bn.

The group also proposed dividend per share of 26 kobo from 25 kobo of the previous year.

Commenting on the results, the Group Managing Director, FBN Holdings, UK Eke, said, “Over the course of the 2017 – 2019 strategic cycle, the priority for management has been to strengthen the various businesses across the Group and position for sustainable growth over the long term. Our three-pronged approach has primarily been to drive long-term revenue generation capabilities, overhaul risk management processes and drive efficiency across our businesses.

Eke said, “We have seen significant results in our revenue diversification aspiration, with improving digital banking offerings which have enhanced our non-interest income from the commercial banking group. Similarly, there has been steady growth in contribution to the revenue pool of the Group from the insurance business and the merchant banking business, helping to further reinforce its revenue generation capacity.”