Stanbic IBTC Holdings Plc, on Wednesday reported that profit before tax grew by 56.3%, faster than the 11.7% rise in gross earnings, which stood at N156.425bn, compared with N140.027bn in the corresponding full year of 2015.
Interest income rose to N87.467bn from N82.686bn, while net expenses dropped from N38.826bn in 2015 to N29.608bn, resulting to net interest income of N57.859bn from N43.86bn.
Non-interest revenue rose to N68.194bn from N56.788bn, net fee and commission revenue improved from N40.704bn to N52.154bn, fee and commission revenue came to N52.918bn from N41.257bn.
These brought income before credit impairment charges to N126.053bn from N100.648bn, just as N19.803bn credit impairment charges, up from N14.931bn, left income net of credit impairment charges at N106.25bn, compared with the previous N85.717bn.
Operating expenses for the year rose marginally from N62.066bn to N69.041bn, even as staff costs increased from N24.825bn to N30.173bn and ‘other operating expenses’ to N38.868bn from N37.241bn.
Profit before tax climbed to N37.209bn from N23.651bn, while income tax jumped by about 100% from N4.76bn to N8.689bn, resulting in net profit of N28.52bn, which represented Earnings Per Share of 246 kobo; from N18.891bn or 155 kobo EPS in the corresponding period of 2015.
Further breakdown of the result showed that the bulk of gross earnings or N67.122bn (down from N71.834bn) came from corporate and investment banking; followed by N58.475bn from Personal & Business banking (N42.972bn in 2015); while ‘wealth’ contributed N32.068bn, up from N26.637bn.
Also, the lion’s share of impairment charge (N10.299bn) was recorded in the corporate and investment banking segment, just as the revenue of N50.75bn, up from N45.289bn; personal & business banking- N9.504bn, as against revenue of N44.476bn; while wealth recorded no credit impairment charge from its N32.067bn revenue.
Operating expenses of N36.656bn was recorded in the personal and business banking segment from N31.839bn; followed by N23.732bn as against N22.826bn from corporate and investment banking; followed by N9.893bn, as against N8.492bn in 2015.
Profit before tax was biggest also in the wealth segment which yielded N22.174bn, as against the previous year’s N18.145bn; followed by the investment banking segment, which posted N16.719bn profit, up from N14.288bn; while personal and business banking recorded a loss of N1.684bn.
Net profit of N15.21bn came from the wealth segment, up from N12.444bn; corporate and investment banking- 14.923bn, up from N15.079bn in 2015; while personal and business banking recorded a net loss of N1.613bn, an improvement from previous year’s N8.632bn.
On the balance sheet, Stanbic IBTC Holdings reported total assets of 1.053tr, as against the previous N937.564bn, with customer loans and advances dropping marginally from N353.513bn to N352.965bn, just as total liabilities rose to N912.725bn from N808.597bn. Deposits and current accounts rose to N614.735bn from N588.959bn, the bulk of which was the N560.969bn customer deposits, from N493.513bn