Ecobank profit grows by 24% to N92 billion in Q1 2022
Ecobank Transnational Inc. (ETI) has posted a profit after tax from continuing operations at N92 billion in the first quarter of the year 2022. The amount recorded was 25% up from the N75 billion it posted in the same period of the previous year.
While the report rides on the presence of double-digit inflation which has crept into many households, the recovery of economic activities – after a long time pause from the Covid-19 which struck hard in 2020 – continued into the year 2021, causing a boost in banking activities.
Analysis shows that the sustained profit was due to the bank’s ability to increase its income as well as manage its expenses in the first quarter of 2022 compared to the first quarter of 2021
Net interest income was up by a paltry 1% to N239 billion from the N237 billion same time the previous year. This is on the back of an increase in interest expenses by 25% to N137 billion, which affected the interest income.
Other income such as net trading income and net investment income also saw a spike, recording a 12% and 88% high from the amount in first quarter of 2021 to N71 billion and N4 billion while operating income dipped 8% to close at N5.3 billion in the first quarter of 2022, causing a 15% rise in non-interest revenue to N197 billion.
Total operating income for the period was N436 billion in the first quarter of the year compared to the N409 billion in the same period last year.
Operating expenses grew by 4% as a result of a slight change in staff expenses as well as other operating expenses by 4% and 6% respectively to N113 billion and N115 billion.
Total asset was down by 4% to close at N 11.3 billion
Loans and advances to customers declined by 5% to N3.9 billion
Ecobank last traded at N12 as of 25th April 2022 while its market cap stood at N220 billion and earnings per share was N1.16.
