Jaiz Bank targets N3.83 billion profit by 2022
Pays N8.05m fine, declares no dividend
Jaiz Bank Plc, a non-interest bank, has assured shareholders that the company’s profit after tax will grow by 313.16 per cent, from a target of N927million in 2018 to N3.83billion by 2022.
The projections come as the bank paid N8.05million in penalties for contraventions, and could not declare dividend to shareholders for the 2017 financial operations.The Managing Director, Hassan Usman, said this at the bank’s, Facts Behind the Figures, at the Nigerian Stock Exchange (NSE) in Lagos.
According to him, that the bank is targeting a profit after tax of N927 million for the financial year ending Dec. 31, 2018, and expected to rise to N1.42billion in 2019, N2.11billion in 2020, and N2.82billion in 2021.
Usman said further review of the lender’s financial forecast showed that gross income would be in the region of N10.07billion in 2018, N12.59billion in 2019, N15.73billion in 2020, N19.27billion in 2021, and N23.51billion in 2022.
Meanwhile, at the Annual General Meeting held in Abuja, Jaiz Bank announced a N894million profit before tax for 2017, against the N343.02million recorded in 2016, representing an increase of 161 per cent
Usman said that key extracts of the financials for the year ended December 31, 2017, showed that pre-tax profit-margin, which measures the underlining profitability of the company, doubled from 5.5 per cent in 2016 to 11 per cent in 2017.
“The pre-tax profit margin denotes the efficiency of the core operational and administrative cost management, and it is usually taken as a more definitive index of performance than top-line margins,” he said.The report also shows that gross earnings rose by 40 per cent from N6.18billion in 2016 to N8.10billion in 2017, while gross profit grew by 34 per cent to N6.705billion in 2017 against N5.003billion in 2016.
It also revealed that its Balance Sheet grew by 32 per cent from N66billion in December 2016 to N87billion in December 2017, just as the Income-Generating Assets increased by more than 36 per cent from N35billion in December 2016 to N48billion in December 2017. Customer Deposits grew by about 35 per cent from N50billion as at December 2016 to N68billion in December 2017.
Usman had earlier told investors in Lagos that the bank’s major objective is to become a leading non-interest bank in sub-Saharan Africa, adding that sound management and staffers as well as shareholders’ support would enable it achieve its goal.He added that the bank would continue to support and grow the Small and Medium Enterprises (SMEs), noting that it was committed to developing innovative financing proposition for the Micro, Small & Medium Scale enterprises.
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