STANBIC IBTC Holdings Plc, a member of Standard Bank Group, has announced unprecedented growth in its audited financial results for the year ended 31 December 2017, released to the Nigerian Stock Exchange (NSE).
According to the result, the Group’s gross earnings during the period surged to N212.4 billion while profit after tax increased to N48.4 billion. With gross earnings at N156.4 billion in December 2016, the 2017 figure represented a growth of 36 percent. On the other hand, profit after tax grew by 70 percent as against the prior year’s N28.5 billion.
Similarly, profit before tax went up by 64 percent to N61.2 billion in 2017 as against N37.2 billion recorded in the corresponding period of 2016.
The Group also made other significant improvements across all three divisions during the period under review as total assets increased to N1.386.4 trillion last year, a 32 percent boost compared to the N1.053.5 trillion recorded in December 2016.
The growth in the balance sheet size was driven mainly by customer deposits, which recorded a growth of 34 percent to N753.6 billion in 2017 from N561.0 billion in 2016. Gross loans and advances grew by eight percent to N403.9 billion, compared to N375.3 billion recorded in December 2016.
Chief Executive, Stanbic IBTC Holdings PLC, Yinka Sanni, stated that the strong performance was evidence of the positive outcome of the group’s strategy of growing the client base across the target and key market segments while maintaining a principled credit process.
“The Group reported its best profitability results since inception. We achieved a 70 percent growth in profit after tax amid healthy capital and liquidity levels. Our balance sheet grew by 32 percent to N1.39 trillion and this was funded mainly by customer deposit growth of 34 percent,” Sanni stated.
He noted that the various business divisions achieved strong operating results as well as retained market leadership across the various businesses such as global markets, investment banking, pension, stockbroking, asset management, and custodial services, with several accolades received during the year.
“Furthermore, Fitch retained our AAA national ratings, which reaffirms our strong fundamentals, stability, creditworthiness and low relative risk in the Nigerian financial markets,” he added.
Moving forward, Sanni said the Group remained optimistic that it will sustain the improved financial performance in 2018 and beyond.
“While we are encouraged by the impressive results, we remain focused on improving risk asset quality, managing our cost base, maintaining our capital strength and increasing our returns to shareholders. We are positive that the Group will benefit from a more stable macroeconomic environment to drive growth in lending and other business activities.”
and then