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FBN Holdings records N52bn profit before tax in six months

By on July 24, 2015

FBN Holdings Plc on Wednesday unveiled its financial results for the half year ended June 30, 2015, showing  profit before tax of N52.1 billion.

A breakdown of the half year performance shows that FBN Holdings  grew net interest income by 15 per cent, from N115.1 billion in 2014 to N132.7 billion in 2015. Impairment charges soared by 239 per  from N6.66 billion to N22.6 billion.

Personnel charges followed the same trend, rising by 23 per cent from N38.7 billion to N47.5 billion, while operating expenses grew by 10 per cent from N58.1 billion  to N64.2 billion.

Consequently, the growth in operating profit was reduced to nine per cent to be at N52.1 billion, compared to N47.7 billion  recorded in the corresponding period of 2014.

After making provision for tax, FBN Holdings closed the period with a profit after tax of N40 billion, up from N37 billion in 2014.

A further analysis of the performance indicates the financial conglomerate grew  customers  deposits from N3.05 trillion to N3.126 trillion. Loans   and advances declined from N2.178 trillion in 2014 to N2.085 trillion in 2015. However, the firm ended the period with a balance sheet size of N4.418 trillion, compared with  N4.342 trillion i 2014.

FBN Holdings had 2014 a profit after tax of N82.8 billion for the year ended December 31, 2014, paid  a cash dividend of 10 kobo per share and a bonus of one new share for every 10 shares already held.

Commenting on 2014 results, the Group Chief Executive Officer of  FBN Holdings, Bello Maccido had said,“The group recorded a strong financial performance in 2014 in spite of the highly challenging operating environment particularly for our flagship business, First Bank of Nigeria. As such, the performance by the Banking Group is a testament to the underlying strength of our commercial banking business which is built on an extensive retail network and a robust information technology platform.”

Maccido had assured stakeholders that the company remain focused on diversifying its revenue streams through the extraction of value from bank acquisitions, consolidating its  position in the investment banking space, especially with the acquisition of Kakawa, and expanding its  insurance business scope.

 

[ThisDay]

One Comment

  1. ahmed ahmad

    July 25, 2015 at 4:04 pm

    Who will get rid of the bandits looting this Bank FBN Holdings is bleeding massive and CBN should not allow this great institution to go comatose before doing something A family of looters is entrenched under the watch of an ineffective CEO and a conniving Chairmen of the Bank and the Holdco CBN over to you pleeeeaaasee