Fidelity Bank Sees Massive Profit Jump
Fidelity Bank kicked off 2024 with a bang, reporting a stellar first quarter (Q1) with significant growth across key financial metrics. Here’s a breakdown of their impressive performance:
Also, Fidelity Bank Plc has posted a 120.1 per cent growth in Profit Before Tax from N17.9 billion at the end of first quarter (Q1) of 2023 to N39.5 billion for Q1 2024.
This was made known in the Bank’s unaudited financial statements released on the issuer portal of the Nigerian Exchange (NGX) on Tuesday, 30 April 2024.
Profit Surge:
- Pre-tax profit skyrocketed by a whopping 120.1% year-on-year (yoy).
- This surge reflects Fidelity Bank’s strong financial health and growth trajectory.
Revenue Boost:
- Gross earnings jumped 89.9% yoy to N192.1 billion, fueled by both interest and non-interest income.
- Interest income grew 90.7% yoy, driven by a higher yield environment and a strong earning assets base.
- Non-interest income also saw an impressive 84.0% yoy increase, powered by growth in account fees, foreign exchange income, trade finance, and remittances.
Strategic Success:
- Nneka Onyeali-Ikpe, the bank’s CEO, attributed this success to their focus on customer-centricity, digital innovation, and operational excellence.
- Despite economic challenges, Fidelity Bank remained adaptable and delivered double-digit growth across income lines.
Profitability on the Rise:
- Net interest income soared 89.5% yoy, driven by an improved yield on financial instruments (14.7% compared to 10.1% in Q1 2023).
- Even with rising funding costs, the bank maintained a healthy Net Interest Margin (NIM) of 8.8%.
Strong Deposit and Loan Growth:
- Total deposits rose 17.2% yoy to N4.7 trillion, reflecting growth across all deposit types.
- Net loans and advances also increased by 21.2% yoy to N3.7 trillion.
Looking Ahead:
- Onyeali-Ikpe expressed confidence in their strategy and commitment to their 2024 guidance.
- The bank remains focused on building a resilient business with a diversified earnings base.
Fidelity Bank’s impressive Q1 results solidify their position as a leading Nigerian bank. Their commitment to innovation and customer focus positions them well for continued success in the years to come.
