Fidelity Bank Grows Earnings to N152bn
Fidelity Bank Plc has posted its full year result for the year ended December 31, 2016, posting N152 billion in gross even as it is proposing to pay a dividend of 14kobo per share to shareholders.
The full year audited results of the bank released over the weekend at the Nigerian Stock Exchange (NSE) shows a 3.5 per cent growth in gross earning, compared with N146 billion which it recorded in the corresponding period in 2015.
Fidelity Bank’s net interest income grew by 1.7 per cent from N60.9 billion to N61.9 billion whilst total deposits, a measure of customer confidence, grew by three per cent, rising from N769.6 billion in the full year of 2015 to N793.0 billion in 2016.
Similarly total assets increased by 5.4 per cent to N1.298 trillion from N1.231 trillion in the corresponding year. Profits however were moderated in the period under review by the one-off staff cost incurred during the year. Consequently profit before tax stood at N11.1 billion down from N14 billion in full year 2015.
Commenting on the result, the Managing Director and Chief Executive of the bank, Nnamdi Okonkwo said “Our financial performance in FY2016 reflects the sound fundamentals of our evolving business model as we continued with the disciplined execution of our medium-term strategy which positions the business for improved and sustainable profitability.”
He explained that profits dipped due to the cost of N4.8 billion cost incurred as Fidelity Bank discontinued its legacy gratuity and retirement scheme. “Excluding this one-off charge, PBT for the year would have been at N15.8 billion” he stated.
Fidelity Bank recorded a savings deposits growth of 30.1 per cent to N155 billion while customer enrollments on its flagship Instant Banking (*770#) and Online Banking products grew by over 200 per cent leading to a 44.6 per cent growth in net e-banking revenues to N7.5 billion.
This performance Okonkwo said was “driven by the upgrade of our core banking system which provides a superior architecture that enhanced our operational efficiency and deepened our electronic banking capabilities”
