BREAKING: FBN Holdings Releases 128% Profits Surge For 2023 Audited Financial Statements—FBN Holdings Plc, the parent company of FirstBank, has released its audited financial statements for the year ended December 2023.
The group reported a profit after tax of N310.4 billion, a significant increase from the N136.3 billion reported for the same period in 2022. This marks the highest profit ever declared by the financial services giant in its more than 130-year history.
Although the company published its interim full-year results in January, the release of the audited accounts was delayed for several weeks due to awaiting regulatory approvals from the Central Bank.
In recent weeks, the company has also undergone significant leadership changes, including the appointment of a new Managing Director and Chairman for its flagship bank, as well as new board members for both the holding company and the bank.
Key highlights of the result (YoY)
- FBN Holdings Plc reported significant growth across various financial metrics for the year ended December 2023.
- Net Interest Income rose to N548.9 billion, marking a 51% increase from N363.2 billion in the previous year.
- The Impairment Charge surged by 231%, reaching N227.4 billion compared to N68.6 billion in 2022. Fees and Commissions increased by 64% to N193.1 billion, up from N117.6 billion.
- The group’s Operating Profit grew by 127%, reaching N358 billion from N157.7 billion.
- Profit After Tax saw an impressive increase of 128%, rising to N310.4 billion from N136.1 billion.
- Earnings Per Share more than doubled, increasing by 129% to N8.59 from N3.75.
- Loans and Advances nearly doubled, increasing by 108% to N8.3 trillion from N4 trillion.
- Deposits grew by 53%, reaching N12.4 trillion compared to N8.1 trillion in the previous year.
- Total Assets saw a substantial increase of 61%, climbing to N16.9 trillion from N10.5 trillion.
Commentary: A major contributor to the bank’s profit was a N680.6 billion gain in Net Gains from financial instruments.
This increase can be attributed to the surge in foreign currency balances and financial instruments, which followed the unification of the naira and its subsequent depreciation. This trend was observed across many banks in Nigeria.
Another notable observation is the bank’s updated majority ownership. Barbican Capital now holds 8.67% of the shares, while billionaire investor Femi Otedola owns 5.65%.
The bank also confirmed that these shareholdings have been verified by the Central Bank.
