FBN Holdings total assets hit N7trn in Q1 2020

.Increases PAT by 62.7% to N25.7bn

FBNHoldings Plc, on Monday, announced its unaudited results for the first quarter (Q1) ended March 31, 2020 with total assets gaining 13.2 per cent to N7 trillion, against N6.2 trillion reported in 2019 full year results.

The Holdings, however, increased its Profit After Tax (PAT) by 62.7 per cent to N25.7 billion from N15.8 billion reported in Q1 2019 unaudited result and accounts.

FBNHoldings in its results to the Nigerian Stock Exchange (NSE) reported Profit Before Tax (PBT) that gained 61.5 per cent to N28.7 billion in Q1 2020 from N17.8 billion reported in Q1 2019.

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Significant increase in non-interest income and moderation in operating expenses were factors that contributed to FBN Holdings profits in the period under review.

Other extracts from the Holdings income statement revealed that gross earnings grew by 14.5 per cent to N159.7 billion in Q1 2020 from N139.4 billion reported in Q1 20219.

As non-interest income of N49.7 billion, 88.9 per cent increase in Q1 2020 from N26.3 billion reported in Q1 2019, Operating expenses gained about eight per cent to N71.6 billion in Q1 2020 from N66.4 billion reported in Q1 2019.

Also, Customer deposits closed the period under review at  N4.3 trillion, up 6.7 per cent from N4 trillion reported in 2019 while  Customer loans and advances (net) of N2.1 trillion, up 10.7per cent y-t-d (Dec 2019: N1.9 trillion)

Commenting on the results, the Group Managing Director of FBN Holdings, UK Eke, said: “The financial results of Q1 2020 is a further testament of the turnaround of our business which began to manifest in 2019. The Group posted a Q1 2020 PBT of N28.7 billion, representing a growth of 61.5per cent year-on-year.

“From an efficiency standpoint, return on average equity increased from 12.4per cent at year-end to15.3 per cent at the end of March 2020, while the cost-to-income ratio decreased to 65.1per cent, in line with our commitment on improving operational efficiency by leveraging technology.

“The current situation demonstrates the importance of the deployment of appropriate technology and effectively validates our recent investment in enhancing our capacity in technological innovation and digitisation of our products and services.

“We are currently assessing the impact of the COVID-19 pandemic on our business and will update the market as soon as we are able to give guidance for the rest of the year.

“As a Group, we are progressing with our business continuity plans and all hands are on deck to ensure the safety of our employees and to continue to serve our customers with minimal disruption.

“We are united with our government, industry and the wider society in our resolve to flatten the curve of COVID-19 and limit the damage caused by the pandemic.”