First Bank declares N15.7bn profit in Q1

First Bank of Nigeria Plc has declared a N15.7 billion profit before tax, about 1.9 per cent over N15.4 billion recorded in the same period in 2010. In its unaudited results for the three-month period ended  March 31, 2011, the bank also declared a group earnings of N63.3 billion increased by 1.5 per cent compared to equivalent period in 2010 of N62.4 billion, profit after tax of N12.6 billion up 1.9 per cent against N12.3 billion recorded in Mar 2010.

The bank’s also recorded operating income of N53.8 billion, an increase of 34.1 per cent, about N40.1billion, operating expenditure of N34.3 billion an increase of 31.0 per cent while cost/income ratio at 64 per cent marginally improved from 65 per cent as at March 2010.

The bank’s total assets also up by 8.9 per cent of N2.5 trillion against N2.3 trillion recorded at the same period last year and and an ncrease of 8.3 per cent quarter on quarter (N2.3 trillion of December 2010.

Other highlights include loans and advances of N1.3 trillion, an increase of 18 per cent year on year (N1.1 trillion Mar 2010) and an increase of 9.9 per cent quarter on quarter (N1.2 trillion December 2010) while customer deposits also up by 12.5 per cent of N1.6 trillion, against N1.4 trillion recorded last year and an increase of 9.1 per cent quarter on quarter of N1.5 trillion December 2010 Shareholders’ funds at N340.6 billion, an increase of 10 per cent against N309.6 billion in March 2010 )

However, the Group Managing Director of the bank, Bisi Onasanya said the first quarter of 2011 has seen the FirstBank Group make steady progress in growing its balance sheet, hitting a historic N2.5 trillion mark within the scope of our comprehensive risk management framework.

He said total loans and advances increased by 10 per cent within the quarter since the end of 2010, while customer deposits grew by 9 per cent over the same period. “We have maintained our strong capital position with a capital adequacy ratio of 19 per cent and have also recorded a rise in profitability, driven by increased market share, steadily better cost control and reduced impairments.

“Our commitment of continuous implementation of our transformation agenda remains a key strategic focus. As the consolidation activity in the sector moves forward and the competitive landscape changes, we look forward to continuing to develop and deliver high quality services to our customers, capitalising on market opportunities to accelerate our strategic growth, ramp up revenue to increase shareholder value and reaffirm our leading position in sub-Saharan Africa.”

Onasanya said the bank has begun to see the positive impact of the bank’s reorganisation to create an independent branch operations structure separate from our market-facing activities. This he said has led to enhanced focus on service delivery and improving general response times nationwide.

Source : Guardian