By Yakubu LAAH InvestAdvocate
Lagos (INVESTADVOCATE)-Nigeria’s mid-tier lender, Wema Bank Plc said on Monday its profit after tax (PAT) rose by 48.5 percent to N2.37 billion in 2014 audited year end from N1.59 billion recorded last year, the bank said in a filing with the Nigerian Stock Exchange (NSE).
Similarly profit before tax (PBT) climbed up 58.9 percent to N3.09 billion from N1.94 billion in the same period of 2013.
While, interest income grew from N28.54 billion in 2013 to N35.45 billion in the 2014 audited period; indicating a growth of 24.2 percent in the review period.
A statement from Wema Bank quoted Segun Oloketuyi, managing director/CEO as saying “It gives me great pleasure to report that Wema Bank continues to record year-on-year improvement in its financial performance. The Bank has improved significantly on its profitability and customer based despite shrinking margins and intense competition. The progress recorded is a result of the continued execution of our three-year growth strategy – Project LEAP.”
He affirmed that the bank recorded a 19 percent growth in customer deposit volumes largely from the commercial and retail segments of the market in spite of the tightened liquidity regime exacerbated by the hike in cash reserve requirement.
“Our loans and advances to customers increased by 51 percent guided by a strong Risk Management structure, which is evidenced by the level of non-performing loans at 2.49 percent,” the CEO of Wema Bank added.
According to Oloketuyi , the lender has become a stronger, more efficient, resilient and customer-focused organisation with a robust risk and governance structure.
He added the bank has realigned its business focus to concentrate on its key area of strength – retail banking. “We have used technology to our advantage, deploying in-branch solutions, mobile and internet applications and other social media tools to drive customer patronage and to reduce our cost to serve. We have continued to contain our operating expenses despite the increased inflationary environment while at the same time there was significant improvement in our fee-based income lines,” he affirmed.
“As we turn 70 as the premier indigenous bank in Nigeria, we are glad to unveil a “NEW” Wema Bank that responds faster and better to customers’ needs whilst adapting more quickly to the ever-changing dynamics of the industry.
The differentiating factor of the New Wema Bank is our agility in responding to our constantly changing business environment; our firm commitment to being the bank of choice; our relentless determination to continue to raise the standards of customer service; whilst ensuring that we consistently deliver superior returns to all stakeholders,” Oloketuyi said.
However, share price of the bank at the close of business on the Nigerian bourse declined 4.17 percent as it opened 0.96 kobo and closed 0.932 kobo; losing 0.04 kobo.
