Fidelity records N61.9b profit in H1, declares 25k interim dividend

Fidelity Bank Plc has posted a profit after tax (PAT) of ₦61.9 billion in its half-year (H1) operations representing a growth of 166 percent over ₦23.3 billion recorded in the corresponding period in 2022.

The bank’s audited result for the H1, 2023 showed 166 per cent rise in PAT from ₦23.3billion recorded in 2022 to ₦61.9billion while profit before tax (PBT) rose by 204.4 per cent to N76.3 billion.

The bank’s gross earnings also grew by 59.6 per cent to ₦247.1 billion from ₦154.8 billion reported in June 2022.
This translates to earnings per share of 194kobo. The bank’s net loans & advances grew by 25.1 per cent from ₦2.1 trillion recorded as of December 2022 to ₦2.6 trillion while customer deposits increased by 23.2 per cent to ₦3.2 trillion from ₦2.6 trillion in December 2022.

According to the bank, its total assets rose from ₦3.9 trillion in December 2022 to ₦5.1 trillion. The bank’s non-performing loans (NPL) remained low and within the regulatory threshold at 3.24 per cent with adequate coverage of 111 per cent.

It further stated that return on equity (ROE) and return on assets (ROA) closed at 34.9 per cent and 2.8 per cent respectively.

Based on the improved performance. The director of the bank are recommending an interim dividend of 25 kobo per share making it the second consecutive year the bank would be paying interim dividends to shareholders.

Managing Director of the bank, Nneka Onyeali-Ikpe said: “We are pleased to report on another period of quality growth across all financial and non-financial indices. Our performance during the first half of the year reflects the resilience of our bank and the fundamental strength of our business to deliver long-term sustainable value at a time that has been characterised by global economic headwinds.

“As a bank, we remain committed to our goal of helping individuals to grow, inspiring businesses to thrive and empowering economies to prosper. The Bank’s impressive H1 2023 results come to join a string of recent achievements by Fidelity Bank. It would be recalled that the bank’s stock was reclassified from small-price stock to medium-price stock by the NGX in July 2023 on the back of a consistently impressive performance.”

Similarly, the bank recently emerged as the company with the highest earnings per share on the NGX based on half-year financial figures for the second year running.

To consolidate on the performance, the bank’s shareholders, at an extraordinary general meeting held on August 11, 2023, unanimously approved a capital raising exercise via a Public Offer and Rights Issue.

“We will continue to monitor and proactively manage the evolving risks in the economy while ensuring our commitments to our customers and shareholders are fulfilled.

The interim dividend of 25 kobo per share, a 150 per cent increase compared to the 10 kobo interim dividend in 2022 FY, attests to the value we place on the unwavering support from our shareholders,” stated added.