Wema bank grew Gross Earnings by 7.51% resulting from an increase in interest income and income from other financial assets by 3.77% and 24% respectively. The interest expense was managed to a drop by 8.64% thus ensuring net interest income grow by 29.4%.
The mid-tier financial institution, Wema Bank Plc released its third-quarter earnings to the Nigerian Stock Exchange (NSE) on Friday.
Loan impairment charges increased by 86.33% in line with the presentation requirements of accounting standards. Profit after tax increased by 72.92% resulting from sustained operating expenses. Thus a 5.4% profit margin. Liquidity of the company maintained. The total assets of the bank moved by 21.88% resulting from decreases and materialization of assets pledged as collateral, intangible assets and deferred tax assets.
Total liabilities increased by 24.48% resulting from 44.38% increase in deposits from its customer base (increase in customer confidence in the bank) and a 40.14% increase in borrowings of the bank.
Brand Spur Nigeria reports that the Profit margin increased marginally to 31.84% against 31.14% in H1 ’17 as result of 11.75% increase in sales cost. The quarterly earnings per share for the bank was c.7k as against c.4k last year.
