Business
Access Bank’s Strong Financial Performance: Detailed Profit Analysis
Access Bank’s Strong Financial Performance: Detailed Profit Analysis
Access Bank, Nigeria’s leading finance holding company, recently announced an unprecedented profit surge of N612.4 billion, representing a staggering 300% increase over the previous year’s figures. This exceptional financial feat not only solidifies Access Corporation’s position as a powerhouse in the Nigerian financial landscape but also underscores the astute leadership that has steered the company towards unparalleled success.
The late Herbert Wigwe, under whose stewardship this remarkable achievement was realized, has left behind a legacy of financial prowess and strategic acumen that has propelled Access Corporation to new heights. The financial statements, as reported by Nairametrics, reveal a Gross Earnings figure of N2.6 trillion, reflecting an impressive 80% growth from the N1.4 trillion recorded in the preceding year.
A substantial portion of the revenue surge can be attributed to gains from fair value adjustments and foreign exchange transactions, amounting to approximately N628.9 billion, a substantial increase from the N335.5 billion reported in the previous fiscal period. This influx of revenue has not only bolstered the company’s financial standing but has also positioned Access Corporation as a frontrunner in the competitive financial sector.
*Key Highlights of the 2023 Financial Year in Comparison to 2022:*
1. Gross Earnings: ** N2.6 trillion vs. N1.4 trillion, representing an 80% year-on-year increase.
2. Net Interest Income:** N555.8 billion vs. N145.7 billion, showcasing a remarkable 282.7% surge year-on-year.
3. Operating Expenses:** N697.5 billion vs. N502 billion, reflecting a 38.9% year-on-year growth.
4. Profit after Tax:** N612.4 billion vs. N153 billion, an exceptional 300% year-on-year rise.
5. Earnings Per Share:** N1.723 vs. N0.444, marking a 300% year-on-year increase.
6. Dividends: ** N1.8 per share (totaling N2.10), with a dividend yield of 7.8% based on the current price (adjusted to 9.1%).
7. Share Price:* Access Corp’s share price closed at N23.1, experiencing a marginal 2% decline on Wednesday, March 26th, 2024. The year-to-date performance shows a slight 0.22% decrease, with a yearly high of N30 per share.
The recent announcement of Access Bank’s acquisition of an 80% stake in Finance Trust Bank further underscores the company’s strategic vision and expansionary drive in the financial sector. This move not only consolidates Access Corporation’s market presence but also signals its commitment to fostering growth and innovation within the industry.
Conclusion:
Access Corporation’s exceptional financial performance in the 2023 fiscal year stands as a testament to its unwavering commitment to excellence, innovation, and strategic foresight. The record-breaking profits, coupled with significant revenue growth and expansionary endeavors, position Access Bank as a trailblazer in the Nigerian financial landscape.
As the company continues to chart new territories and set higher benchmarks for success, stakeholders and investors can look forward to a future brimming with promise and prosperity under the visionary leadership of Access Corporation.