The NPF Microfinance Bank has unveiled its financial results for the first quarter of 2023, demonstrating an impressive 171.5 percent surge in profits, reaching N645.94 million, compared to N242.79 million during the same period in 2022.
These results, disclosed in their financial report submitted to the Nigerian Exchange Limited on Thursday, also showcase a substantial 62.79 percent growth in gross earnings, soaring from N1.47 billion to N2.28 billion.
The bank’s revenue was significantly bolstered by net interest income, contributing a substantial N1.86 billion, while fee and commission income amounted to N159.04 million.
A detailed examination of the interest income reveals noteworthy figures: loans and advances surged to N2.052 billion from N1.26 billion, and treasury bills investments rose to N29.53 million from N18.09 million during the review period.
In terms of overall financial strength, the institution witnessed remarkable growth, with its assets expanding by 24.90 percent, reaching N43.09 billion.
Concurrently, total liabilities increased by 30.53 percent, reaching N31.22 billion from N23.92 billion.
It’s worth noting that the bank had previously obtained shareholder approval to raise capital for its transformation into a commercial bank, a decision ratified during the 29th Annual General Meeting held in June.
Shareholders overwhelmingly supported the increase in share capital, ensuring compliance with regulatory requirements for the transition into a Deposit Money Bank.
This transition will necessitate amendments to the Memorandum of Association to reflect the changes in share capital resulting from the capital raise and allotment process.
Additionally, at the AGM, shareholders endorsed the proposed dividend of 10 kobo per ordinary share of 50 kobo, as declared by the directors for the year ending December 31, 2022.
