Ecobank reports highest annual growth in profit, up 334% to N146bn
Ecobank Plc, has released its 2021 full-year financial result, which revealed a profit of N146.33 billion in 2021. This reflects a 334% increase year-on-year.
The bank also reported earnings per share of N1.49, a 47% decline from the N2.80 reported a year earlier in 2020. Ecobank Plc has been able to double its profits in 4 years since hitting N69 billion in 2017 with the profit now touching roughly N146 billion.
The statement revealed that in FY 2021, Net interest income grew by 12% from N346.61 billion to N386.71 billion in the current period. The Bank’s profit performance for FY 2021 was on the back of all margin growth as income from interest, investment and fees and commission income all appreciated year on year.
The Nigerian lender earned N603.37 billion from its lending business as Interest income grew by 14% from N531.22 billion.
Despite a 2.76% spike in loan losses, operating profit after impairments still appreciated by 35.57% to stand at N206.51 billion.
Ecobank Plc, however, grew its income from commission and fees rising 26.25% to N204.79 billion year on year and also generating a total of N121.04 billion in net trading income on securities representing a 9.00% decrease year on year.
Net gains from instrument securities grew by 19.73% to be recorded as N7.60 billion. Net Trading income, however, declined by 8.50% to N121.04 billion.
The bank’s credit-related fees and commission raked in N59.13 billion, representing a 21.77% spike from N48.56 billion in 2020. This suggests that the bank has improved in its utilization of its credit application channels and the overall delivery of financial services to its customers.
In addition, the group also grew its deposits from customers by a whopping 14.14% to N8.36 trillion while its total assets are now N11.69 trillion, almost twice the bank’s total assets in 2017. Net assets rose by 13.08% to N917.90 billion.
Ecobank Plc last traded at N11.80 per share and its market capitalization stands at N216.52 billion as of Tuesday, March 29, 2022. Year-to-date performance shows that the share price of the company has appreciated by 35.63%.
