Wema Bank announced its 2023 second-quarter results, revealing that pre-tax profits increased by 109.57% year on year, reaching N5.87 billion.
According to The Times, pre-tax profits for the first half of the year increased from N6.103 billion to N12.059 billion as a result.
The huge expansion in net interest income as well as net fees and commission income is to blame for the significant increase in pre-tax profit.
Additionally, the Bank saw a remarkable 37% increase in interest income from loans and advances given to customers, which also helped to drive up the bank’s overall interest income.
However, the bank saw a significant increase in net impairment charges on financial assets, principally as a result of higher costs for loans, advances, and investment securities/treasury bills.
Highlights of Q2 2023 compared to Q2 2022:
Gross earnings; N50.035 billion +67% YoY
Interest Income N42 billion +68% YoY
Interest Expense N24.350 billion +98.26% YoY
Net interest income N18.42 billion +40.20% YoY
Net impairment charges on financial assets N1.287 billion +271.33% YoY
Net interest income after impairment charge for credit losses N17.133 billion +33.93% YoY
Net income on fees and commission N5.093 billion, +49% YoY.
Profit for the period N5.111 billion +111.24% YoY.
Loans and advances to customers N627.006 billion +20.25%.
Cash and Cash equivalents N187.265 billion +135.59%
Total Assets N1.881 trillion +30.4%.
Customers’ deposits N1.393 trillion +19.46%.
