Stanbic IBTC’s posts 113 per cent half-year profit
Stanbic IBTC Holdings Plc, a member of Standard Bank Group, has announced a 113 per cent rise in Profit after tax at N24.112billion for its six months audited results for the period ended June 30, 2017, compared with the N11.317billion achieved in the corresponding period of 2016.
The Bank’s gross earnings also increased from N71.320billion recorded in 2016 to N97.198billion during the period under review, representing an increase of 36.28 per cent.
The Bank attributed the improved performance to the Group’s unrelenting efforts to explore opportunities to grow its business and market share responsibly through the adoption of an appropriate risk appetite and excellent service delivery.
Further breakdown of the result showed that profit before tax increased by 86 per cent to N29.169billion during the period, from N15.682billion last year. Total assets went up by 21 per cent to N1.273trillion from N1.053trillion in December 2016.
Expressing delight at the result, Chief Executive Officer, Stanbic IBTC Holdings Plc, Yinka Sanni, said: “The domestic environment in the first half of 2017 recorded a decline in headline inflation, improved foreign exchange liquidity and a gradual economic expansion as measured by the Purchasing Managers’ Index. The improved operating environment positively impacted our businesses leading to significant improvement in our financial results.
“Income before impairment charges grew by 43 per cent, driven by a sustained growth in yields from investment securities and trading activities. Interest income increased by 55 per cent and trading revenue grew by 81 per cent, positively impacting profit after tax, which increased by 113 per cent year-on-year. The balance sheet grew by 21 per cent year-to-date as trading assets and financial investments increased by over 100 percent and 19 per cent respectively.
“Our cost-to-income ratio continued to witness improvement, standing at 47.0 per cent at the end of H1 2017 when compared with 57.7 per cent in H1 2016. The growth in non-performing loan ratio is on account of some newly classified loans in line with economic realities. We are optimistic that this would moderate towards the end of 2017.”
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