FBN Holdings grows Q1 earnings to N126.8bn
FBN Holdings Plc has said it earned N126.8bn in the first quarter of 2015, indicating a 23.5 per cent increase on the N102.6bn it reported as gross earnings for the same quarter of 2014.
The group's unaudited results for the quarter ended March 31, 2015 showed that it made a profit after tax of N26.9bn in the quarter, - 8.7 per cent higher than the N24.8bn it realised in the corresponding period of last year, while its profit after tax rose by 4.9 per cent to N22.6bn from N21.6bn.
In terms of balance sheet growth, FBN Holdings said its total assets rose by 3.9 per cent from N4.3tn on December 31, 2014 to N4.5tn in the quarter under review, while customer loans and advances edged lower by 2.6 per cent from N2.2tn at the end of December last year to N2.1tn as of March 31, 2015. Customer deposits were up by 5.1 per cent year-to-date, from N3.1tn to N3.2tn.
According to FBN Holdings, the gross earnings growth was aided by a strong year-on-year growth of 51.2 per cent in non-interest income to N29.3bn.
It added, 'Gross earnings were further supported by a 17.0 per cent y-o-y increase in interest income to N95.3bn. Negatively affecting gross earnings was the impact of the Central Bank of Nigeria's implementation of the revised COT charges and the sterilisation of the loanable funds in reserve requirements.'
The Group Chief Executive Officer, FBN Holdings, Bello Maccido, was quoted in a statement as saying that by virtue of its performance, had sustained its leading position in the financial services industry.
'In spite of the volatile political and macroeconomic environment that has characterised the first quarter, we returned a profit before tax of N26.9bn, a nine per cent increase over the same period in 2014,' he said.
'Given this we are cautiously optimistic about the rest of the year, as the country and economy benefits from improving confidence, and remain focused on managing effectively the macroeconomic challenges.'
Maccido, who said that the group expected improved traction from investments committed in the prior year to diversify revenue streams and enhance profitability, promised that it would continue to build a resilient business and drive efficiencies towards delivering sustainable returns to its shareholders.