Business

Wema Bank records 68% profit growth, to launch digital banking in May

Published

10 years ago

April 28, 2017

By Odunewu Segun

One of Nigeria’s indigenous financial house, Wema Bank Plc has recorded a 68% growth in profit after tax in spite of the prevailing economic circumstances in the country.

In its recently released unaudited first quarter financial results for 2017, the growth was driven by a 27.69% and 78.79% in interest and non-interest income.

Details of the results shows that the bank also recorded a 34.89% increase in gross earnings, rising from N11.24 billion in Q1 of 2016 to N15.16 billion in the first quarter of 2017.

In addition, the Bank continues to benefit from the growing market acceptance and increasing market penetration while leveraging on technology. As a result, the Bank continues to record growth in low cost deposits with a 68.06% increase in Profit before Tax (PBT).

Commenting on the report, Managing Director/Chief Executive Officer of the bank, Segun Oloketuyi said the result was driven by a 27.69% and 78.79% growth in interest income and non-interest income to N12.33 billion and N2.83 billion respectively compared to the prior year.

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“In 2017, we continue to re-affirm our strategy – Project LEAP, through the conscious growth of the brand, the continued streamlining of our processes, the deployment of alternate platforms and strategic alliances.”

Meanwhile, to further strengthen its presence in the retail space, the Bank said it will launch Nigeria’s 1^st Digital Bank named ALAT on May 2^nd 2017.

ALAT is expected to disrupt the banking landscape and is driven by three pillars – Convenience, Simplicity and Reliability.

During the quarter, the Bank had its National Long Term Rating affirmed at (BBB-) by Global Credit Rating (GCR), a leading credit rating and research company. We believe this is a testament to our continued commitment to best risk management practices while taking advantage of opportunities, inspite of the challenging economic environment.