Stanbic IBTC Holdings Plc, a financial institution, has issued its financial report for the first half of 2023.
The report highlights an impressive 121.46% increase in Profit After Tax, rising from N30.669 billion to N67.919 billion compared to the same period in 2022.
The report, which was submitted to the Nigerian Exchange Limited with a slight delay attributed to seeking regulatory approval from the Central Bank of Nigeria, reveals substantial growth across various financial metrics.
The group’s gross earnings surged by 58.18%, profit before tax soared by 107.58%, and profit after tax witnessed an impressive growth of 121.46% for the period ending on June 30, 2023.
Stanbic IBTC’s directors recommended an interim dividend of 150 kobo per share, matching the previous year’s figure, for the review period.
The favorable results can be attributed to the rise in Net Interest Income, which surged by 44.35% to N72.684 billion from N50.353 billion in 2022. Non-interest revenue also demonstrated strong growth, increasing by 56.64% to N98.618 billion from N62.957 billion.
Although there was a minor increase of 9.37% in net impairment loss on financial assets from N5.467 billion to N5.979 billion, the overall picture remained positive.
Furthermore, total assets experienced a noteworthy increase of 47%, reaching N4.45 trillion compared to N3.03 trillion in December 2022. Gross loans and advances rose by 37% to N1.70 trillion from N1.24 trillion in the same period.
In response to these results, Dr. Demola Sogunle, the Chief Executive of Stanbic IBTC, expressed his views.
He noted that the initial half of 2023 was eventful due to factors such as general elections and cash scarcity, leading to slower business activities initially.
However, business activities rebounded during the second quarter, with an increase in the PMI and demand due to better access to cash and business expansion.
Dr. Sogunle highlighted that the bank achieved significant growth in key income areas.
He mentioned a substantial increase of over 100% in the Group’s profitability, largely driven by growth in revenue streams.
The growth was reflected in a 62% year-on-year rise in interest income, attributed to higher yields and loan volumes as the bank aimed to support clients through lending and investment opportunities.
Dr. Sogunle also shared the bank’s participation in processing the first inbound commercial transaction on the Pan African Payment and Settlement System (PAPSS) in Nigeria.
PAPSS, a project of the African Union and the African Continental Free Trade Area Secretariat, aims to promote intra-African trade.
This accomplishment showcases Stanbic IBTC’s commitment to providing secure and efficient payment solutions across Africa, further aligning with their goal of helping clients unlock the potential of the African market.
