Wema Bank on Friday announced its unaudited nine months result and accounts for the period ended September 31, 2019 with Profit Before Tax (PBT) gaining 55.56 per cent to N4.76 billion from N3.06billion reported in prior nine months.
From the lender’s income statement, Profit After Tax (PAT) also grew by 56.06 per cent to N4.12billion from N2.64billion reported in nine months ended September 30, 2018.
Wema Bank’s gross earnings increased by 30.95per cent (Y-o-Y) to N64.15billion in nine months of 2019 from N48.99billion reported in nine months of 2018.
However, Net-Interest Income grew to N17.2billion from N15.8bilion in nine months of 2018; growth of 8.85per cent while growth of 56.34per cent in Non-Interest Income to N15.79billion from N10.10billion in nine months of 2018.
Statement of financial position showed, Total Asset gaining 25.70per cent to N600.7billion in nine months of 2019 from N477.9billion in 2018 financial year.
In the same vein deposit liabilities grew up by 23.69per cent to N456.8billion from N369.3billion in 2018 FY while net loans grew by 13.76per cent from N252.2billion reported in 2018 FY to N286.9 billion (Q3 2019)
The Chief Finance Officer, Tunde Mabawonku in a statement said, “We are delighted to announce the Bank’s Q3 2019 results. The performance shows growth in key financial metrics despite the challenging macro-economic environment.
“Wema Bank recorded YoY growth of 55.56per cent in profit before tax (PBT) to close the quarter at N4.76billion. This was on the back of growth of 30.95per cent in Gross earnings from N48.99billion in Q3’2018 to N64.15billionin Q3’2019.
“The Bank continued to benefit from fees and other non-interest income which closed at N15.79billion in Q3’2019compared to N10.10 billion in Q3’2018; a growth of 56.34per cent.
“Net interest income also recorded a growth of 8.85per cent, compared to Q3 2018. (Q3 2019; N17.2billion; Q3 2018; N15.8billion).’’
According to the Chief Finance Officer, “The key measure of success for us is growth in customers and customer activity – and we are glad that we are reporting strong double-digit growth here.
“Customer deposits grew by 23.69per cent to N456.8billion from N369.3billion in 2018 FY.
“Net loans grew by 13.76per cent from N252.2billion (2018 FY) to N286.9 billion (Q3 2019), with a loan to deposit ratio above the regulatory prescribed minimum threshold. NPL numbers remained below five per cent while Capital Adequacy of 14.78per cent is above the regulatory minimum of 10per cent.
The Bank continues to do well in the Digital space, with ALAT. The Managing Director, Mr. Ademola Adebise also further reiterated this strong performance stating that, “The future for Wema remains growth through innovation and we are proud to be the leading Bank in the Digital Banking space.
“ALAT has revolutionized customer on-boarding in the industry, now we are taking on payments and commerce.
“We are creating a digital platform for youths, young entrepreneurs and young professionals. The Bank has also commenced trade partnership with the Bank of Africa group to strengthen its commercial business.
“We believe that with the focused execution of our 3-year strategy, Wema will remain the Bank to watch out for. The bank remains committed to sustaining this impressive performance and to deliver on the FY 2019 guidance across all key metrics.”