By Odunewu Segun
With a pre-tax profit of about N234bn on gross earning of N1.07 trillion in the first quarter of 2017, Banks have expressed optimistic of continuing growth in the remaining period of the year, citing expected improvement in the macroeconomic environment.
Key extracts of the interim report and accounts of banks for the three-month period ended March 31, 2017, indicated that total assets rose to N35.3 trillion by the end of the review period, driven largely by profit accretion as all tracked banks posted profit during the period.
Gross earnings totalled N1.072 trillion, driven mostly by growth in core banking operations. Profit before tax stood at N233.66 billion while profit after tax stood at N196.7 billion.
About 80 per cent of tracked banks recorded higher pre and post-tax profits compared with the corresponding period of the previous year while nearly all banks reported growths in top-line earnings.
Average gross earnings for the industry in the first quarter stood at N71.47 billion while average profit before tax stood at N15.57 billion. After taxes, average net profit stood at N13.11 billion on the back of average total assets of N2.35 trillion.
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National Daily had tracked the results of all quoted banks on the Nigerian Stock Exchange (NSE), with the exception of the troubled Skye Bank, which has not submitted both the audited report for 2016 and first quarter result for 2017.
“We remain positive that economic activities will improve as the economy is beginning to show signs of positive outlook due to an increase in the supply of foreign exchange to both retail and corporate users and decreasing headline inflation,” Stanbic IBTC Holdings Chief Executive, Mr. Yinka Sanni, said.
Sterling Bank Managing Director, Mr. Yemi Adeola, said the first quarter of this year’s performance was in line with expectations, noting that the bank would continue to explore innovative ways to improve revenue, while simultaneously enhancing the overall efficiency of its business operations.
“We remain committed to maximising shareholders’ value and delivering superior and sustainable return, guided by our founding values of hard work, discipline and integrity,” Managing Director, Guaranty Trust Bank, Mr Segun Agbaje, said.
Group Managing Director, United Bank for Africa UBA), Mr. Kennedy Uzoka, said the performance in the first quarter strengthens the group’s optimism on economic and business recovery in Nigeria and many of its markets across Africa.