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Skye Bank grows first quarter earnings by 25%

By on April 30, 2013

SKYPE Bank Plc has posted gross earnings of N34.7 billion in the first quarter of 2013 against N27.8 billion recorded in the same period of 2012.

The performance represents a 25-per cent year on year improvement, just as the bank is set to make early strides in the financial year, with strong support from the previous records.

According to the interim report and accounts for the first quarter ended March 31, 2013, Skye Bank recorded double-digit growth year-on-year in income, with revenue growth largely driven by an impressive increase in its core banking operations.

Commenting on the outlook for the bank, the Group Managing Director, Skye Bank Plc, Kehinde Durosinmi-Etti, said the first quarter results placed the bank in a good stead to sustaining its impressive year-on-year performance.

“We are glad to announce our first quarter 2013 results with measured growth in key performance indices. Our improved risk management processes and various efficiency practices are a signpost towards an optimistic financial year.

“Our gross earnings improved by 25 per cent year-on-year from N27.8 billion to N34.7 billion which is an indication of an increase in business volume. Interest income grew by 18 per cent year-on-year from N23.0 billion to N27.2 billion, and a reduction of 78 per cent year-on-year in impairments.

“We recorded 56 per cent growth in our non-interest income lines, while a moderate increase in our operating expenses resulted in a Profit Before Tax growth of 13 per cent year on year from N4.1 billion to N4.6 billion.

“Our balance sheet size remained relatively flat but robust at N1.1 trillion at the end of Q1 2013 with a six per cent year to date gross loan growth of N601.9 billion. Correspondingly, our core deposit volumes grew by two per cent year to date and four per cent with the inclusion of other deposit liabilities bringing the total deposit liabilities to N821.9 billion.”

The report raises expectations that the bank would, in the current financial year ending December 31, 2013, significantly surpass its performance in the previous year, when it recorded the highest industry growth in net profit.

 

 

[Guardian]