First Bank of Nigeria Limited, the commercial banking arm of FBN Holdings Plc, has reported a staggering profit before tax (PBT) of ₦188.8 billion in its half-year (H1) results, showing a remarkable growth of 214.6% year-on-year (Y/Y).
This surge in profitability highlights the bank’s strong financial performance, reinforcing its position as a leading player in the Nigerian banking sector.
In comparison to last year’s corresponding period, where it recorded a PBT of N60 billion, the bank’s current H1 results have significantly exceeded expectations.
Gross earnings also witnessed a remarkable uptick, rising by 82.4% to ₦607.7 billion, compared to ₦333.2 billion in the comparative period last year.
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The bank’s net interest income, a key indicator of its core banking operations, grew by an impressive 52.1% to ₦232.6 billion, while non-interest income reached ₦229 billion, marking a staggering 112% increase from last year’s H1 figure of ₦108.1 billion.
Profits After Tax (PAT) demonstrated an exceptional upward trajectory, soaring from ₦53.3 billion to ₦174.9 billion, representing a phenomenal 228.3% growth Y/Y.
First Bank of Nigeria Limited also witnessed robust growth in its total assets, which rose by 34.8% to ₦13.6 trillion.
Customer loans and advances saw an impressive increase of 40% to reach ₦5.2 trillion, while customer deposits reached ₦8.8 trillion, showing a substantial 27% increase compared to the previous year-end.
Operating costs for the bank moved slightly to ₦222 billion, compared to the ₦178 billion recorded in the corresponding period, demonstrating the bank’s efficiency in managing expenses.
Meanwhile, FBN Holdings Plc, the parent company of First Bank of Nigeria Limited, also posted exceptional results, with the Group’s PAT growing by 231.1% to N187.2 billion in the same period.
The Group’s total assets also witnessed significant growth, rising by 34% to N14.177 trillion.
Dr. Adesola Adeduntan, Chief Executive Officer of FirstBank Commercial Banking Group, expressed his satisfaction with the bank’s financial performance.
He stated, “In the first half of 2023, FirstBank Group delivered the strongest financial performance in the almost 130 years of the Bank’s history; with solid business momentum, increased revenue, and excellent returns.
“The result reflects the continued positive impact of our strategy and the tremendous progress that we have made in growing and transforminCommenting on the results. The result also highlights the resilience of our business model, customer relationships and institutional capabilities.
“While the uncertainties in the macroeconomic and operating environment persist, I am confident that our purpose-driven strategy remains the right one and that our strong financial performance, alongside our business model and resilient portfolios, positions the Group well to continue to provide the required support to our customers as well as create robust and sustainable value to our shareholders.
“Given our extensive and diversified customer base of over 42 million customer accounts, our digital technology-enabled processing capabilities that ensure we process over 12% of the industry’s payment volume, our future-proof and cutting-edge digital banking platforms with over 22 million users that enable us to process more than 95 per cent of customer-induced transactions on digital channels, the robustness of our balance sheet, and our institutionalised risk management culture and capabilities, we see a resilient franchise today and into the future.”