Nigerian lender, Ecobank Plc, released its financial result for the year 2021, which revealed a profit of N146.33 billion in 2021. This reflects a 334% year-on-year increase.
The bank also reported earnings per share of 1.49 naira, down 47% from the 2.80 naira reported a year earlier in 2020. Ecobank Plc has been able to double its profits in 4 years since it reached 69 billion naira in 2017 with the profit now touching around 146 billion naira.
The statement revealed that in the financial year 2021, net interest income increased by 12% from N346.61 billion to N386.71 billion for the current period. The Bank’s earnings performance for fiscal 2021 was underpinned by growth across all margins, with interest, investment and fee and commission income all appreciating year-on-year. the other.
Main highlights of its results
- The Nigerian lender earned N603.37 billion from its lending business as interest income increased by 14% from N531.22 billion.
- Despite a 2.76% rise in loan losses, operating profit after impairments still appreciated by 35.57% to N206.51 billion.
- Ecobank Plc, however, increased its revenue from commissions and fees, increasing by 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% year-over-year decline.
- Net gains from Instrument Securities increased by 19.73% to be recorded at N7.60 billion. Net trading income, however, declined by 8.50% to N121.04 billion.
- The bank’s credit-related fees and commissions reached N59.13 billion, up 21.77% from N48.56 billion in 2020. This suggests that the bank has improved its use of its credit application channels and the overall provision of financial services. to its customers.
- In addition, the group has also increased its customer deposits by a whopping 14.14% to 8.36 trillion naira, while its total assets are now at 11.69 trillion naira, almost double the assets bank totals in 2017. Net assets increased by 13.08% to N917. 90 billion.
Ecobank Plc last traded at N11.80 per share and its market capitalization stood at N216.52 billion as of Tuesday, March 29, 2022. Year-to-date performance shows that the price of the company’s share price appreciated by 35.63%.