FBN Bank posts 94.1% growth in profit for Q3 2022
First Bank of Nigeria (FBN) Ghana for the period ended Q3 2022 posted net profit of GHS 72m.
This compares favourably to the GHS 37m net profit recorded in Q3 2021.
The GHS 72m profit recorded in Q3 2022 marks a 94.1 percentage points growth in net profit from the GHS 37m profit recorded in Q3 2021.
Growth in the bank’s net profit was on the account of increment in its profit before tax from GHS 57m to GHS 110m within the review period.
Assets value of FBN Bank within the period under review, also witnessed some appreciable growth, rising to GHS 2.1bn in Q3 2022 from the previous year’s figure of GHS 1.7bn.
Increment in the bank’s assets value were mainly driven by growth in FBN Bank’s cash and cash equivalents as well as loans and advances to customers.
For the review period, the two components of the bank’s assets value grew from GHS 216m to GHS 385m and GHS 488m to GHS 663m in Q3 2021 and Q3 2022 respectively.
Regarding total liabilities of the bank, FBN Bank at end-Q3 2022, posted total liabilities of GHS 1.4bn, an increase of some GHS 300m from the previous year’s total liabilities of GHS 1.1bn.
The GHS 300m increment in liabilities was driven mainly by growth in deposits from customers which stood at a total value of GHS 964m.
Non-performing loans of the bank witnessed a decline from 9.15% to 4.1% within the review period. The decline in NPLs indicates improved robustness and efficiency in the loan recovery strategies of the bank.
There was however, a significant drop in the bank’s Capital Adequacy Ratio (CAR).
FBN Bank’s CAR at end-Q3 2022 stood at 50.18% from the 71.54% CAR recorded at end-Q3 2021.
Despite the huge drop in the bank’s CAR, FBN Bank’s 50.18% CAR is significantly above the Bank of Ghana’s 13% minimum CAR requirement.
