- Deposits from customers drops by 11%
- Loans and advances to customers fell by 7%
- AMCON levy hits N904m in six-month
Wema Bank Plc’s unaudited result for the six-month ended June 30th, 2016 has shown that the bank recorded a 11 per cent growth in profit before tax.
The bank’s profit before tax advanced to N1.29 billion in the period under review, from N1.17 billion, while profit after tax also rose by 11 per cent to N1.1 billion at the end of the first half of the year from N997 million in prior half year.
Wema bank’s gross earnings increased by 16.4 per cent to N24.3 billion at the end of June, from N20.9 billion in the corresponding period of 2015.
Commenting on the results, Managing Director/Chief Executive Officer, Mr. Segun Oloketuyi, said: “The 2016 financial year has been a rather eventful one for the Nigerian economy. The year has been characterised by deceleration on a number of economic indicators coupled with increasing energy costs, intensified by rising inflation, all within a tough operating environment. The banking industry has also not been exempted from these challenges.
“In spite of these challenges, Wema Bank has been able to deliver a modest improvement in the first half of the year. Interest income grew by 15.2 per cent from N17.5 billion in first half 2015 to N20.2 billion in the current period, while fee and commission income improved significantly by 42.3 per cent from N2.2 billion in first half 2015 to N3.1 billion in first half 2016.”
According to him, the growth in non-interest revenues was driven by “our on-going initiative to enlarge our footprint in the retail space while keeping customers at the heart of our operations”.
Its deposits from customers dropped by 11 per cent from N284 billion in the previous period to N253.8 billion as at June 30, 2016.
Loans & advances to customers fell by seven per cent to N172 billion from N185 billion as at December 31, 2015.
Assets Management Corporation of Nigeria (AMCON) levy moved to N904 million in six-month from N1.9billion recorded in full year of 2015.
With decline in deposits from customers and Loans & advances to customers, total assets decreased by 1.3 per cent in six- month from N396.7 billion to N391.76 billion as at June 30, 2015.
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