Fidelity Bank Posts N21.3bn Profit

05 Nov Fidelity Bank Posts N21.3bn Profit

Fidelity Bank Plc has released its third quarter results for the year 2020 released on the Nigerian Stock Exchange (NSE).

Details of the results showed improvement in key indices as its profit before tax (PBT) rose by 3.6 per cent to N21.3 billion, whilst profit after tax (PAT) rose by seven per cent from N19 billion to N20.4 billion in the period under review.

However, its gross earnings dropped marginally by 3.7 per cent, from N161.1 billion in 2019 to N155 billion in the period under review.

In other indices, customer deposits, net loans and total assets grew in double digits. For instance, total assets grew by 21 per cent from N2.1 trillion in 2019 to N2.5 trillion; customer deposit was up by 22.3 per cent, from N1.23 trillion to N1.5 trillion, whilst net loans rose by 12 per cent from N1.12 trillion to N1.27 trillion, to cap the good outing by the top lender.

Commenting on the results, the Chief Executive Officer, Fidelity Bank, Mr. Nnamdi Okonkwo said: “Our nine months results reflect our resilient business model, particularly in a very challenging operating environment. We worked closely with our customers to gradually recover from the economic impact of the pandemic and the attendant effect of the lockdown.”

He explained that the drop in gross earnings was due to the decline in interest and similar income caused by lower yields and drop in fee income.

“Net fee income declined by N1.3 billion largely due to a reduction in foreign exchange-related income on account of the revaluation gains recorded in the first half of 2020.