Fidelity Bank says it recorded N385.2 billion profit before tax in 2024, marking a 210 percent increase.
According to the bank’s financial results filed on the Nigerian Exchange (NGX) on Friday, gross earnings rose by 87.7 percent to N1.04 trillion, “driven by a 106.9 percent increase in interest and similar income to N950.6 billion”.
The company said the increase in interest income was led by a combination of improved yield on earning assets and a 51.6 percent expansion in the earnings base to N6.3 trillion.
This, Fidelity Bank said, resulted in a profit after tax of N278.1 billion, reflecting a 179.6 percent annual growth.
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Nneka Onyeali-Ikpe, chief executive officer (CEO) of Fidelity Bank, said the company is pleased with its 2024 performance.
“We are delighted with our 2024 full-year performance, which showed strong growth across key revenue lines, improved asset quality, and significant traction in our strategic business segments,” she said.
“Our impressive results led to a triple-digit increase (210 percent) in profit before tax, rising from N124.3 billion in 2023 to N385.2 billion in 2024.”
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A review of the financial performance showed that net interest income grew by 127.1 percent to N629.8 billion, supported by a high-yield environment.
To optimise its margin, the bank said it sustained asset yields above funding costs by maintaining a “high low-cost deposit profile at 92.6 percent, leading to an increase in its net interest margin from 8.1 percent in 2023 to 12 percent in 2024”.
The bank also said it expanded its market share in both corporate and retail segments, with customer deposits rising by 47.9 percent from N4 trillion in 2023 to N5.9 trillion in 2024, “driven by double-digit growth across all deposit types”.
“The Retail Banking Business continued to gain traction with savings deposits increasing by 28.8 percent to N1.1 trillion, marking the 10th consecutive year of double-digit growth in savings deposits,” the statement reads.
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“Despite the difficult economic terrain in 2024, the bank has continued to support the real sector of the economy by increasing its Net Loans & Advances from N3.1tn in 2023FY to N4.4tn in 2024FY.”
‘TOTAL DIVIDEND FOR 2024 AMOUNTED TO N2.1 PER SHARE’
Onyeali-Ikpe said the total dividend for the 2024 financial year amounted to N2.1 per share.
“This remarkable performance demonstrates our capacity to deliver superior returns to our shareholders,” she said.
“In line with our commitment to them, we have declared a final dividend of N1.25 per share, bringing our total dividend for the 2024 financial year to N2.10 per share.”
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The Bank said the N2.1 per share dividend payment for 2024 is subject to shareholders’ approval at the annual general meeting (AGM) on April 29, while payment will be made on the same day to shareholders registered as of April 15.
According to the statement, a total of N175.9 billion was recognised as fresh capital in 2024, a development that the bank said positively impacted its capital adequacy ratio at 23.5 percent.
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Fidelity also disclosed plans to conclude the second phase of its capital raising scheme by Q3 2025, ahead of the Central Bank of Nigeria’s (CBN) deadline.
In February, Fidelity Bank announced that the first phase of its equity capital raise recorded a 237 percent oversubscription in its public offer.
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