The enlarged Access Bank Plc, on Tuesday became the first major stock to present its unaudited financials for the first quarter ended March 31, 2019, showing that although there were growth in the major income heads, this was not superlative, possibly betraying the economic reality of the environment in the review period.
The group’s profit after tax however soared by 86% on the N6.21bn net foreign exchange income recorded in the period, compared to the N6.821bn loss in the corresponding period of 2018.
Gross earnings for the period stood at N160.122bn, up from N137.534bn in 2018Q1; lifted by the N110.776bn interest income, which rose by N15.182bn or 15.88% from N95.594bn.
Interest expense increased by N2.997bn to N53.938bn, compared to the N50.94bn of 2018; resulting in net interest income of N56.838bn, up by N12.184bn or 27.29%, compared to N44.653bn in the preceding first quarter.
Net impairment charge dropped from N4.961bn to N3.375bn, leaving net interest income after impairment charges at N53.463bn, as against the N39.692bn of 2018, which represented N13.771bn or 34.69%.
Fee and commission income was flat at N15.628bn, compared to N15.861bn; while expense rose from N1.938bn to N2.559bn; resulting in net fee and commission income of N13.068bn, which was marginally lower than the preceding N13.923bn.
Net gains on investment securities slowed down t N19.76bn from N27.668bn in 2018, representing N7.907bn or 25.58%; net foreign exchange income stood at N6.21bn; other operating income increased from N5.231bn to N7.746bn; even as personnel expenses rose marginally to N12.786bn from N12.29bn. Rent expenses increased from N998.414m to N1.049bn; depreciation rose from N3.771bn to N4.531bn; amortization inched to N406.895m from N324.783m; just as other operating expenses increased to N36.375bn from N34.871bn.
Profit before tax stood at N45.101bn, representing a rise of N17.662bn or 64.36% from N27.438bn in 2018; income tax fell from N5.322bn to N3.953bn, representing N1.369bn or 25.72% decline.
Net profit for the period climbed N19.031bn to N41.147bn from N22.116bn, representing Earnings Per Share of N1.39, as against the 77 kobo recorded in 2018.
On the balance sheet, total assets improved by N1.473tr or 29.8% to N6.427tr, from the previous N4.954tr; of which loans and advances to customers rising from N1.993tr to N2.6tr, representing N606.545bn or 30.42%.
Total liabilities climbed to N5.85tr from N4.463tr, representing N1.387tr or 31.07%, with customer deposit at N3.92tr, up by N1.355tr or 52.84%. Shareholders’ funds for the period stood at N568.739bn, from N490.511bn.
A breakdown of the numbers showed that N136.389bn of the gross earnings and N33.738bn of Profit before tax were derived from Nigeria; N17.571bn and N7.021bn respectively from the rest of Africa; while N9.503bn and N4.341bn from Europe.
In the corresponding period of 2018, N118.297bn and N20.357bn of earnings and PBT respectively came from Nigeria; rest of Africa, N13.814bn and N3.548bn; and N5.422bn and N3.533bn from Europe.