Wema Bank posts N54.25b gross earnings, N2.59b profit
For the financial year ended December 31, 2016, Wema Bank Plc has posted gross earnings of N54.25 billion and Profit After Tax (PAT) of N2.59 billion.
Addressing shareholders during the bank’s yearly general meeting held in Lagos, on Wednesday, the Managing Director of the bank, Segun Oloketuyi, told shareholders that the bank recorded a double-digit growth in gross earnings of 18.48 per cent from N45.79 billion to N54.25 billion, driven by an 18.61 per cent and 13.61 per cent increase in Interest and Non-Interest Income respectively.
Similarly, PAT, according to him stood at N2.59 billion, representing 14.10 per cent rise over the N2.27 billion recorded in the corresponding period in 2015.
He explained that as a well-focused financial institution dedicated to continuously provide convenient banking opportunities for its loyal customers, the bank recently launched ALAT, Nigeria’s first fully Digital Bank.
Oloketuyi explained that despite the challenging operating environment in 2016, particularly in the banking industry, the bank benefited from its improved brand acceptance and market penetration.
“Sound risk management practices remain at the core of our business model. The bank was not immune to the impact of the economic slowdown, but a more prudent approach was taken, in providing for some loans. We closed with a Non-Performing Loan (NPL) ratio of 5.07 per cent from 2.67 per cent in the prior year. In addition, our coverage ratio remains robust at 100 per cent with Capital Adequacy Ratio (CAR) at 11.07 per cent, which is above the regulatory minimum of 10 per cent.”
He noted that funding remains at the core of the enterprise strategy. “We reported an encouraging growth rate in our retail deposit volumes. We also intensified and contracted a couple of partnerships during the year which have contributed in good measure to customer acquisition.”