Fidelity Bank Posts N34.4bn Profit For Q1, Appoints New Ag. MD

Fidelity Bank Plc has posted gross earnings of N34.4billion for the first quarter ended March 31, 2016. It is contained in the first quarter unaudited report issued by the bank.

The bank also appointed Alhaji Mohammed Lawal Balarabe, executive director North as acting managing director/chief executive with immediate effect, subject to regulatory approval in the absence of the managing director/chief executive officer, Mr Nnamdi Okonkwo.

The Board of Directors of the bank also reassures all its stakeholders including over 400,000 shareholders and 3.4million customers of its continued seamless services.

According to reports, it shows that the figure was against the N36.4billion recorded in the comparative period of 2015. Its net interest income increased by 30 per cent to N16.1billion from N12.4billion achieved in the first quarter of 2015.

The bank’s net operating income increased by 6.2 per cent to N20.8billion from N19.6billion posted in the preceding period of 2015. Its profit before tax stood at N4billion in contrast with N4.7billion in 2015, a decrease of 14.6 per cent.

The report said the bank’s profit after tax declined by 10.5 per cent to N3.6 billion from N4billion in 2015.

“The bank’s total expenses increased by 15.7 per cent to N16 billion from N13.9billion in the first quarter of 2015,’’ it stated.

The report shows that its total assets increased to N1.28trillion from N1.23trillion in 2015.

The bank said that the financial performance for the quarter was a reflection of the continued slowdown in business activities.

“We continued to improve the earnings capacity of our balance sheet (fund based income) despite the decline in fee income,’’ the report said.

It explained that the bank’s key objectives for the 2016 full year remained redesigning of its systems and processes to enhance service delivery and cost optimization initiatives to reduce expenses by per cent.