Wema Bank Plc has recorded 40.83 per cent rise in Profit Before Tax (PBT) to N6.76 billion in its audited results for the full year ended December 31, 2019.
The performance was higher than N4.80 billion reported in 2018. Profit after tax stood at N5.20 billion, which is higher than N3.33 billion it achieved in same period in 2018.
The lender also increased its dividend payment for the full year ended 31 December 2019 to four kobo per share, which is higher than three kobo per share paid in 2018 financial year.
According to the results, total asset grew by 46 per cent to N715.87 billion, compared with N488.80 billion achieved in the previous year. The bank’s non-interest income grew by 74 per cent to N24.21 billion , against N13.89 billion in 2018.
The bank’s deposit grew by 56 per cent to N577 billion, higher than N369 billion achieved in same period in 2018.
Managing Director/CEO of Wema Bank Plc, Ademola Adebise, commenting on the results, stated that: “We are pleased to announce our 2019 financial year results. The results show that year on year, Wema Bank has continued its steady growth trajectory. The bank recorded gross earnings of N94.89 billion which was a 32.65 per cent increase over the 2018 performance of N71.53 billion. Profit before tax was N6.76 billion which represents a 40.83 per cent growth over the N4.80 billion reported in 2018 and profit after tax was N5.20 billion as compared with N3.33 billion in 2018,” he said.
The bank has continued to grow its deposit base, while also reducing its cost of funds. Deposits are up by 56.35 per cent in in 2019 to N577.28 billion, while N369.20 billion was achieved in 2018. Loans and advances grew from N252.19 billion to N289.24 billion in 2019, representing 14.69 per cent increase. The bank has also increased its dividend payment from 3kobo per share to 4kobo per share translating to dividend yield of eight per cent.”
Ademola cautioned that, “while the results for 2019 showed very strong growth, the economic headwinds of the last few weeks has moderated our growth expectations for the next few months. It is expected that the economic and social impact of the Covid-19 virus will be far reaching. As a Bank we have also tried to play a role in supporting local and federal efforts in providing relief to those impacted directly and indirectly.
