October 22, 2018
By Yakubu LAAH InvestAdvocate
Lagos (INVESTADVOCATE)-Nigeria’s top tier lender, Access Bank Plc on Monday said is post-tax profit for the period ended September 30, 2018 grew 11.5 percent to N62.9 billion from N56.4 billion posted a year ago; of which subsidiary contribution increased to 32 percent, from 15 percent from the corresponding period.
Pretax profit of the lender. decreased 3.62 percent to N70.2 billion in the review period of 2018 from N72.9 billion posted the same period of 2017.
while gross earnings appreciated 2.79 percent to N375.2 billion from N365.1 billion declared the corresponding period of 2017, Access Bank said in a filing with the Nigerian Stock exchange (NSE).
The lender in a statement to InvestAdvocate said its asset base remained strong and robust with growth of 11 percent Year to Date (YTD) in total assets to N4.55 trillion in September 2018 from N4.10 trillion in December 2017.
It said loans and advances totaled N2.08 trillion as at September 2018 (December 2017: N2.06 trillion). Also, customer deposits increased by 10 percent to N2.48 trillion in September 2018, from N2.25trillion in December 2017.
While capital adequacy of 20.3 percent and liquidity ratios of 44.2 percent, remained consistently above the regulatory minimum requirement.
“Our capital and liquidity position remained adequately above regulatory levels, as we continued to implement a disciplined capital plan, ensuring sufficient levels of profit retention to support our growth.We remain committed to our cost containment plan, as we strive to balance operational efficiency with earnings growth in a constrained environment, ”Herbert Wigwe, group managing director/CEO of the bank said while commenting on the report.
Further analysis of the results showed non-performing loans stood at 4.7 percent as at September 2018 compared to 4.8 percent in December 2017. Cost of risk decreased to 0.5 percent in nine months to September 2018 from 0.9 percent in 2017 on the back of prudent risk management practices during the period.
“The Bank will remain resilient in the achievement of its strategic imperatives; maximizing our strong market position and solid capital base, while leveraging digital innovation to improve service touch points as we sharpen our retail play with emphasis on cheaper funding sources,”Wigwe said.
Shares of Access Bank at the close of the trading session on the Nigerian Stock Exchange (NSE) declined 3.61 percent to N8.00 from N8.30 traded the previous session; losing 0.30 kobo per share.
