Fidelity Bank rakes in N28.10bn profit in 9 months

Fidelity Bank Plc has posted a profit before tax (PBT) of N28.10 billion for the nine months ended September 30.

Fidelity Bank’s Chief Executive Officer, Mrs. Nneka Onyeali-Ikpe, said this in the bank’s unaudited financial statement posted on the website of the Nigerian Exchange (NGX) Ltd., on Tuesday in Lagos.

Onyeali-Ikpe said that the PBT represented an increase of 31.92 per cent when compared with N21.30 billion recorded in the comparative period of 2020.

Also, the bank’s gross earnings grew by 12.5 per cent to N174.4 billion from N155.0 billion achieved in the corresponding period of 2020.

Total assets rose by 15.4 per cent to N3.18 billion from N2.75 billion in the comparative period of 2020, while total deposits increased by 16.1 per cent year-to-date to N1.97 billion from N1.69 billion in 2020.

She noted that the development was driven by increased deposit mobilisation across all deposit types.

“We were able to sustain our performance trend since the start of 2021 with an impressive double-digit growth in profit driven by 69.9 per cent increase in net fee income which compensated for the decline in net interest income as average yield on liquid assets remain low.

“Digital banking has continued to gain traction as the bank now has 56.1 per cent of its customers enrolled on digital banking platform from 52.8 per cent in 2020.

“The bank had recorded a 125 per cent year-on-year increase in total NIP transaction and 24.9 per cent.

“Other regulatory ratios remain well above the minimum requirement: Capital Adequacy Ratio at 18.8 percent from 18.2 per cent in 2020, while liquidity ratio came in at 34.5 per cent, well above the regulatory threshold of 30.0 per cent,” she added.

Onyeali-Ikpe noted that Fidelity Bank recently completed a highly successful Eurobond offering, raising $400 million from the international capital markets through a five-year tenor Eurobond.

The offering achieved a 7.625 per cent coupon p.a. and recorded a 1.8x over-subscribed order book which peaked at over 700 million dollars.

“The pricing of the senior unsecured notes, underscores the formidable confidence of a diversified range of global and local investors in Fidelity Bank’s growth aspirations and the well-experienced management team,” Onyeali-Ikpe said.