FBN Holdings records N73.7 billion profit in third quarter

The unaudited result of FBN Holdings Plc for the nine months ending September 30, 2014 has shown that the financial institution’s profit before tax increased by 5.2% to N73.7 billion, up from the N70.1 billion realised in the comparable period of 2013.

FBN Holdings also stated that its gross earnings increased by 12.5% to N333.2 billion, from N296.3 billion recorded as at September last year.

Its net interest income of N176.5 billion, was an increase by 2.4% year-on-year, over the N172.4 billion it stood as at September last year.

Non-interest income of N71.4billion was also up 35.5% year-on-year, while operating income of N247.3 billion reflected a 10.4% year-on-year growth over the N224.1billion realised last as at September last year.

FBN Holdings said its impairment charge for credit losses of N13.4 billion as at the period was a drop by 15.0% year-on-year, from N15.7 billion last year, while its total assets was also up by 8.3%, to N4.2 trillion.

While the financial institution recorded customer deposits of N2.9 trillion, its customer loans and advances (net) stood at N2 trillion.

Commenting on the results, Bello Maccido (pictured), chief executive officer of FBN Holdings, said: “Despite the tough operating environment, FBN Holdings continues to deliver a resilient level of profitability.

“We remain committed to enhancing shareholder returns by ensuring improved contribution from our subsidiaries and leveraging on opportunities across the Group to drive revenue generation, particularly in non-interest income.

“We will continue to drive efficiencies across our businesses through a number of cost-containment programmes and expect improvement on this front in the short to medium term.

“Furthermore, we remain focused and confident on ensuring the businesses remain well-funded and adequately capitalised to support our growth initiatives.”

Also commenting on the results, Bisi Onasanya, the group managing director/chief executive officer, First Bank of Nigeria Limited, said: “In response to the business environment, we have implemented a refined bank operating model to take advantage of the increasing growth opportunities in retail banking, as well as, ensuring optimal utilisation of resources.

“This has led to the creation of Lagos and West and South regions from the former retail banking south and public sector south directorates effective August 1, 2014.”