The Nation Newspaper

Tag: grosses

  • FBN General sustains growth, grosses N3.51b premium in 2017

    FBN General Insurance has grossed a premium income of N3.51 billion in the financial year ended December 31, 2017, reflecting a year-on-year growth of 60 per cent from N2.2 billion in 2016.

    The company’s claims and expenses rose by 180 per cent from N270 million to N756 million. Profit before Tax (PBT) closed at N322 million, representing a growth rate of 66 per cent.

    In a statement by its Managing Director, Bode Opadokun, the growth was partly driven by improved asset and investment portfolio management resulting in an investment income growth of 112 per cent.

    He said: “The 2017 account was approved by the National Insurance Commission, (NAICOM). During the year under review, we consolidated on the strategic restructuring across key business functions.

    “This has inspired a profitable performance exemplified by our total assets recording an appreciable growth of 27 per cent at year-end from N6.06 billion achieved in 2016 to N7.72 billion in 2017. With our strategic marketing drive and the support of our dedicated staff, we are hopeful of sustaining our growth in 2018.

    “It is worthy of note that in addition to the company’s restructuring efforts during the year, FBN General has implemented some tactical initiatives, chief of which is the diversification into retail product sales to enhance her value proposition to customers. Though, the company recorded high claims expenses for the period, which stood at N756 million, a year-on-year growth of 180 per cent, this is symptomatic of the general high loss trend during the year and a testament to the firm’s commitment to her customer’s satisfaction,”he added.

    FBN General Insurance is a wholly owned subsidiary of FBNInsurance Limited, an FBNHoldings company associated with the Sanlam Group SA.

     

  • Diamond Bank grosses N156.5b in 9 months

    Diamond Bank Plc grew its top-line by 3.2 per cent to N156.5 billion in the first nine months of this year, according to earnings report released at the Nigerian Stock Exchange (NSE).

    The nine-month report for the period ended September 30, 2015 showed that gross earnings rose from N151.6 billion recorded in third quarter 2014 to N156.5 billion in third quarter 2015, representing an increase of 3.2 per cent. Net interest income increased to N85.2 billion against N82.6 billion in comparable period of 2014. Profit before tax however dropped from N23.7 billion to N18.6 billion while profit after tax also declined from N20.19 billion to N18 billion.

    Chief executive officer, Diamond Bank Plc, Mr Uzoma Dozie, said the bank has gone through extensive transformation noting that innovation, technology and lifestyle priorities will drive banking in the future and Diamond Bank has been well positioned to take advantage of this.

    He expressed optimism about the growth and value to shareholders and restated his commitment to overseeing full implementation of the bank’s digital led retail strategy.

    According to him, the decline in total assets of the bank by 8.5 per cent from December 2014 was due to the continued rebuilding and strengthening of the bank’s balance sheet with focus on a more efficient structure that will deliver better returns to shareholders in the long term.

    “Our customer friendly products and services are showing positive results. By taking this approach we stand to benefit from further innovation, technology and lifestyle changes that will drive banking in the future. Our business has remained resilient despite challenges in the operating environment, and as the fastest growing retail bank in Nigeria, we have the resources and governance structures to enable us ride the current headwinds and take advantage of opportunities that may arise in the future,” Dozie said.

    According to him, in spite of regulatory headwinds that impacted business operations in third quarter, Diamond Bank stayed focused on strategy implementation showing strong resilience against the tide. The bank cleaned its books of additional toxic assets and recorded strong growth in revenue, while setting forth a clear and realisable business roadmap that would promote stronger and sustainable growth in the fourth quarter and the years ahead.

    Although industry watchers and analysts had predicted a decline in, or flat revenue at best, due to unfavourable macro environment and challenging regulation, Diamond Bank maintained its status as the fastest growing retail bank as well as displayed resilience in earnings..

     

     

  • Sterling Bank grosses N55b in first half

    Sterling Bank grosses N55b in first half

    Sterling Bank Plc recorded modest growths in the first half with 12 per cent growth in the top-line and 6.9 per cent increase in net profit.

    Key extracts of the interim report and accounts for the half year ended June 30, 2015 released yesterday at the Nigerian Stock Exchange (NSE) showed steady growth in key performance indices, underlining the resilience of the bank against inclement operating environment and regulatory headwinds.

    Gross earnings rose by 12 per cent to N55 billion in first half of 2015 as against N49.39 billion in corresponding period of 2014. The top-line was driven by a 32.2 per cent increase in non-interest income to N15.2 billion from N11.4 billion reported in the corresponding period of 2014. Profit before tax inched up by 1.43 per cent from N5.97 billion to N6.06 billion. Profit after tax rose by 6.9 per cent to N5.4 billion in first half 2015 as against N5.1 billion in comparable period of 2014.

    Further analysis showed that operating expenses was relatively flat at N24.2 billion leading to an improvement in cost –to-income ratio. The bank’s balance sheet also came in stronger with shareholders’ funds increasing by 4.4 per cent to N88.4 billion as against N84.7 billion in 2014.Total assets , excluding contingent liabilities, increased by 1.2 per cent to N834.0 billion as against N824.5 billion in 2014.

    Commenting on the results, managing director, Sterling Bank Plc, Mr. Yemi Adeola, said the bank continued to strengthen its mid and bottom-line performances, as its increasing focus on cost reduction, credit risk management and operating efficiency cushioned macro headwinds and retained value for shareholders.

    According to him, the performance in the first half underscored the steady progress of the bank’s growth plan and its resilience in the face of regulatory and other macroeconomic headwinds.

    He noted that the bank prioritized performance optimization and operational efficiency leading to a 260-basis points improvement in cost-to-income ratio while it also achieved pre-tax return on average equity of 14 per cent with a double-digit growth in top-line earnings.

    He pointed out that the capital position of the bank has remained strong with capital adequacy ratio at 15 per cent, 50 per cent higher than the regulatory benchmark.

    Adeola said the bank would in the second half complete the ongoing implementation of a number of technology-led service improvement initiatives across core and subsidiary systems in order to improve operating efficiency and employee productivity.

    “Furthermore, we remain confident that we will complete the final tranche of our capital program in order to build additional resilience in view of the prevailing difficult macro-economic conditions while also strengthening earnings capacity”,  Adeola added.

  • FBN Holdings grosses N212b in first half

    FBN Holdings grosses N212b in first half

    FBN Holdings Plc, the holding company for First Bank of Nigeria (FBN) Limited and its previous subsidiaries, grew its top-line by 7.9 per cent to N212 billion in the first half of this year.

    Interim report and accounts of FBN Holdings for the period ended June 30, 2014 released yesterday showed that gross earnings rose by 7.9 per cent to N212 billion in first half 2014 as against N196.4 billion recorded in comparable period of 2013. The top-line showed mixed performance from the interest and non-interest incomes. Net interest income inched up by 2.2 per cent to N115.2 billion compared with N112.7 billion in first half 2013. Non-interest income was flat at N43.2billion as against N43.3 billion in 2013. Operating income rose marginally by 1.5 per cent from N155.5 billion to N157.8billion.

    While impairment charge for credit losses dropped by 33 per cent to N6.7 billion in 2014 from N9.9 billion in 2013, operating expenses increased by 14.3 per cent to N102.9 billion as against N90.0 billion. Profit before tax thus dropped by 12 per cent to N48.3 billion in first half 2014 as against N54.8 billion in first half 2013. Profit after tax also dropped by 19 per cent from N46.1 billion to N37.2 billion.

    Further analysis showed that the company’s total assets closed first half at N4.0 trillion, up by 3.4 per cent from N3.9trillion recorded by December 2013. Customer deposits however dropped by 5.9 per cent to N2.8 trillion as against N2.9 trillion recorded in December 2013. Customer loans and advances stood at N1.8 trillion in first half 2014 as against N1.7 trillion by December 2013.

    Key fundamental indices underlined the depressed bottom-line.         Return on average equity dropped to 15.7 per cent in 2014 as against 20.6 per cent in first half 2013. Net interest margin dropped from 8.2 per cent to 7.4 per cent. Cost to income ratio stood at 65.2 per cent as against 57.9 per cent. Non-performing loans ratio stood at 3.0 per cent as against 3.8 per cent in comparable period of 2013.

    Chief executive officer, FBN Holdings Plc, Bello Maccido, said the performance of the company during the period showed its resilience in view of the tough operating environment and regulatory headwinds.

    According to him, the company has continued to implement measures to ensure improved performance with a review of the current business model of its commercial banking business group and the investment banking and asset management business in the coming period.

  • LASACO Assurance grosses N4.4b premium income

    LASACO Assurance grosses N4.4b premium income

    LASACO Assurance Plc has recorded a premium income of N4.4 billion in its 2012 financial year, as against the N3.9 billion recorded in 2011. This represented 11 per cent growth.

    The Chairman, Ashim Oyekan, who made this known at the just-concluded 33rd Annual General Meeting (AGM) of the firm in Lagos, said the group also paid N1.3 billion claims in the year under review, indicating an increase of N448 million over what was paid in 2011.

    He explained that due to the adjustments done in line with the International Financial Reporting Standard (IFRS), the group recorded a loss before tax of N180 million in 2012, adding that the group within the period, grew its investment income by 34 per cent. He said this is a reflection of the Group’s strategic direction to leverage investment income as a key revenue source.

    “The growth from N249 million in 2011 to N334 million in 2012, is the immediate positive reflection of the efforts to restructure the company’s investment portfolio despite the difficult investment environment,’’ he said.

    “In a bid to maximise the opportunities provided by information and communication technology (ICT), the firm has initiated the move to partner Interswitch Limited to enable its customers avail themselves of services through e-commerce, including payment real time online.”

    He maintained that the firm will continue to assess its service platform to ensure it conforms to best global standards and flexible to meet customer’s expectations.

    Oyekan said the firm is poised to take advantage of the huge private investment in the power sector, adding that the overall strategy of the firm is to leverage the size and status, and channel investments into areas that will continue to ensure effective and efficient delivery of set goals.

    ‘’The huge private investments in the power sector are expected to stimulate and expand appreciably the domestic economy. The gains from this economic growth should trickle down to the common man, by increasing his purchasing power and improving his standards of living.

    ‘’We expected that the healthy economic environment thus created, will heighten awareness and the demand for insurance, while we will leverage our expertise to create insurance products that will meet all such needs. We also expect that the retail segment of the insurance market will drive our growth and open up the potentials of the company,’’ he added.