Wema Bank grows H1 pre-tax profit by 43%

Wema Bank Plc has posted growth performance across all financial indices in the first-half (H1) of its 2022 operations. This information is contained in the financial results of the pioneer of Africa’s first fully digital bank and one of Nigeria’s most resilient banks for the period ended June 30, 2022.

In the report, the bank recorded an increase of 50 percent in its gross earnings from the N39.82 billion it recorded in H1 of 2021 to N59.59 billion. It also grew its Interest Income by 55 percent year-on-year, from the N32.19 billion recorded at this period last year to N49.75 billion.

The bank’s Non-Interest Income went up from N7.64 billion in the period ended 30 June, 2021 to N9.85 billion, an increase of 29 percent. Similarly, Wema Bank recorded a 43 percent increase in profit before tax (PBT) from N4.30 billion over the same period last year to N6.13 billion for the period under review.

The bank’s profit after tax (PAT) also increased from N3.72 billion in H1 2021 to N5.30 billion reflecting an increase of 42 percent. The bank also grew its deposit by 13 percent from N968.17 billion reported in FY 2021 to N1.09 trillion in the H1 2022. It also grew its loans and advances from N418.86 billion to N447.23billion in H1 2022, an increase of 7 percent.

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Ademola Adebise, Managing Director/Chief Executive officer, Wema Bank attributed the remarkable performance to increased customer satisfaction the bank delivers through its investment in technology.

“Our performance has shown strong and promising results in the second quarter. Customers have continually shown trust in our proficiency, innovation, and service delivery even as the market gets more challenging.

“That said, I am confident, that despite increased volatility and uncertainty, we will continue to scale up, manoeuvre the environment, creatively manage our resources, and drive long-term, substantial returns for shareholders,” Adebise said.

In his own remarks, the bank’s Chief Finance Officer, Tunde Mabawonku, explained that the strong performance stems from the bank’s diversification of its business and value derived from its digital assets

“This has been a strong first half with Interest Income up 55percent and Profit Before Tax up 43percent compared to H1 2021.” Mabawonku said. “This strong showing is down to diversification at different levels of our businesses. Also, it is a testament to the advantage of our investment in digital banking assets which have continued to boost customer satisfaction and build trust for us.

“Also, we are aware of the challenges that the rising cost of living is having on our customers and stakeholders. Given the size of our balance sheet and income growth, we have trust in our ability to continue to provide support and help cushion the impact of growing costs in the market,” he added.