By Kayode Tokede
Access Bank Plc has released its audited half year ended June 30, 2021 results with 1.2 per cent increase in profit before tax to N97.5billion as against N74.31billion reported in prior half year result and accounts.
The lender on Nigerian Exchange Limited (NGX) on Wednesday also reported 42,4per cent increase in profit to N86.94billion from N61.03billion reported in H1 2020.
With the increase in profit, The Board of Directors proposed interim dividend of 30 Kobo per ordinary share of 50 Kobo each (HY2020: 25Kobo) each on the 35,545,225,622 issued ordinary shares of 50k each payable to shareholders on the register of shareholding at the closure date.
For the period under review, the bank reported 14 per cent increase in gross earnings to N450.62billion as against N396.76billion reported in H1 2020.
From the lender’s balance sheet, Access bank’s total assets hits N10.05trillion, about 16 per cent increase from N8.68trillion reported in full year ended December 31, 2020.
Impressive increase in total assets was driven by 11.3 per cent growth in Loans and advances to customers to N3.58trillion as at June 30, 2021 from N3.2trillion reported in 2020, while Deposits from customers appreciated by nearly seven per cent to N5.97trillion as at June 30, 2021 from N5.58trillion reported in 2020.
The Group Managing Director and CEO of Access Bank, Herbert Wigwe in a statement when 2020 financial year result was released said the institution’s resilient performance “is testament to the effectiveness of our strategy and capacity to generate sustainable revenue.”
He had said, “The strategic actions that the Bank has taken over the past 12 months evidence a strong focus on retail banking and financial inclusion, an African expansion strategy and a drive for scale for sustainable value creation.
“In 2020, Access Bank proudly opened its doors for business in Kenya and Mozambique, further increasing our footprints across the African Continent. Access Bank Zambia also concluded the acquisition of Cavmont Bank Limited in January 2021 and the Group recently announced the approval by relevant regulatory authorities for the acquisition of Grobank Limited, creating an inroad into the South African market in realization of the Group’s strategic ambitions.
“In view of the opportunities that exist in the market, we will be transitioning to a HoldCo structure.
“The Bank has received the Approval-In-Principle from the Central Bank of Nigeria for the restructuring and the HoldCo will consist of 4 subsidiaries in order to tap into the market opportunities that are available in the consumer lending market, electronic payments industry and retail insurance market. Going into the fourth year of our 5-year cyclical strategy, our focus remains on consolidating our retail momentum and expanding our African footprint in a sustainable manner.”