H1: Fidelity Bank Grows Profit before Tax by 72% to N21bn

Fidelity Bank Plc has announced a profit before tax (PBT) of N20.6 billion for the half-year (H1) ended 30 June 2021, up by 72 per cent from N12.0 billion it posted in H1 2020. The tier-2 lending bank said the N20.6 billion PBT was achieved on the back of increased customer transactions and improved operational efficiency.

The bank posted a profit after tax (PAT) of N19.306 billion, indicating a growth of 70 per cent compared to N11.303 billion in the corresponding period of 2020.

Speaking on the bank’s performance, the Managing Director/Chief Executive Officer of Fidelity Bank Plc, Mrs. Nneka Onyeali-Ikpe, said: “We sustained our impressive financial performance with double-digit growth in profit as increased customer transactions drove non-interest revenue while improved operational efficiency continued to moderate cost to - serve. This resulted in 72.4

per cent increase in profit before tax to N20.6 billion from N12.0 billion in H1 2020”.

A review of the financial result for the period indicated that the bank’s gross earnings increased by 6.2 per cent to N112.3 billion on account of 27.8 per cent growth in non-interest revenue (NIR) to N23.8 billion from N18.1 billion in H1 2020.

NIR was driven by strong growth in commission on banking services (57.7 per cent), account maintenance charges (50.6 per cent), digital banking income (49.4 per cent) and trade income (33.7 per cent).

The report also indicated that total customer induced transactions across all distribution channels increased by 58.0 per cent year-on-year and 21.2 per cent quarter-on-quarter.