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Fidelity Bank PLC Reports N200.8 Billion Pre-Tax Profit and Announces Dividend
Fidelity Bank PLC Reports N200.8 Billion Pre-Tax Profit and Announces Dividend
Fidelity Bank PLC has released its financial results for the period ending June 30, 2024, reporting an impressive pre-tax profit of N200.8 billion. This marks a remarkable 163% increase year-over-year (YoY), driven primarily by gains in financial assets valued at fair market prices.
The bank’s net interest income surged by 202.7% YoY to N326.4 billion, showcasing its ability to navigate a challenging economic landscape effectively. The gross earnings also reflected substantial growth, reaching N512.8 billion, which is a 107.6% increase from the previous year’s N247.1 billion.
Fidelity Bank PLC Reports N200.8 Billion Pre-Tax Profit and Announces Dividend
Key Financial Metrics
* Gross Earnings:** N512.8 billion (+107.6% YoY)
* Interest Expenses:** N146.8 billion (+78.9% YoY)
* Net Interest Income:** N326.4 billion (+202.7% YoY)
* Fee and Commission Income:** N35 billion (+45.2% YoY)
* Pre-Tax Profit:** N200.8 billion (+163.1% YoY)
* Post-Tax Profit:** N159.8 billion (+157.8% YoY)
* Earnings Per Share:** N4.9 (+157.8% YoY)
* Total Assets:** N7.9 trillion (+27.2% YoY)
* Total Liabilities:** N7.3 trillion (+25.9% YoY)
* Cash and Cash Equivalents:** N801.7 billion (+95.9% YoY)
Read Also: Fidelity Bank leads banks’ support for SMEs.
Despite the increase in interest expenses, which climbed 78.9% YoY, the substantial rise in net interest income demonstrates Fidelity Bank’s robust operational performance. The bank’s fee and commission income also increased to N35 billion, up from N24.1 billion last year.
Strong Asset Growth
Total assets rose by 27% YoY, with Fidelity Bank’s asset base reaching N7.9 trillion, compared to N6.2 trillion the previous year. This growth indicates the bank’s solid financial position and resilience. The increase in cash and cash equivalents by 95.9% to N801.7 billion highlights the bank’s strong liquidity, reinforcing its prospects for continued growth.
Dividend Announcement
In a move to reward its shareholders, Fidelity Bank has proposed an interim dividend of N0.85 per ordinary share of N0.50. This dividend is payable to shareholders registered by the close of business on October 17, 2024, and is expected to enhance investor confidence.
Conclusion
Fidelity Bank’s remarkable financial performance in the first half of 2024 underscores its operational strength and effective management strategies. With a solid increase in profits and significant asset growth, the bank is well-positioned for future success, making this announcement a promising indicator for investors.
