File Stanbic IBTC Holdings has posted a profit before tax of N43.08bn, a 17 percent growth, for the first half of the year 2018.
This is against N24.11bn the company made in the same period of 2017, leading the gross earnings at N114.21bn from N97.20bn.
According to the Chief Executive Officer of the firm Yinka Sanni, the “The operating environment in the first half of the year was characterised by rising oil prices, stable oil production level leading to accretion to the country’s external reserves, improved foreign exchange liquidity with attendant interventions from the Central Bank of Nigeria and moderating inflation amid declining yields on money market securities.
“Stanbic IBTC continued to deliver stellar performance over the course of the first half of the year.
“Profit before tax grew to N50.73bn, representing a 74 per cent growth from prior year on the back of non-interest revenue growth and recoveries from delinquent assets previously impaired.
“Our credit impairment line has a write back of N5.5bn as at June 2018 as we continue to intensify recovery efforts on previously classified loans.”
Sanni said, “This was offset by increase in interest expense of 26 per cent as a result of interest paid on maturing term deposits and other borrowings.
“We are making good progress on our drive to reduce cost of funds which has reduced by more than 100 basis points, manifesting in a 15 per cent reduction in interest cost between Q1 2018 and Q2 2018.
“We have seen significant growth in transaction volumes across our digital platforms.
“The volume of transactions via our mobile banking, SME internet banking, USSD platforms and ATMs have increased by over 100 percent each year-on-year as we continued to drive non-interest income growth.
“Also, we kicked off the initial stage of implementing a virtual banking proposition.”