Bank’s Gross Earnings Surge by 62.79% to N2.28 Billion
The NPF Microfinance Bank has released its financial results for the first quarter of 2023, posting impressive figures that reflect robust financial performance. The bank reported a remarkable 171.5% increase in profit, reaching N645.94 million compared to N242.79 million in the same period in 2022.
According to the financial results filed with the Nigerian Exchange Limited on Thursday, the bank’s gross earnings also experienced significant growth, surging by 62.79% to N2.28 billion from N1.47 billion. A major contributor to the bank’s revenue was net interest income, which amounted to N1.86 billion, while fee and commission income stood at N159.04 million.
A closer look at the interest income breakdown reveals that loans and advances rose to N2.052 billion from N1.26 billion during the review period, with treasury bills investments increasing to N29.53 million from N18.09 million.
The financial institution demonstrated its strength in asset growth, registering a 24.90% increase to N43.09 billion during the review period. Total liabilities also increased to N31.22 billion from N23.92 billion, representing a 30.53% rise.
It’s worth noting that the NPF Microfinance Bank had previously obtained shareholders’ approval to raise capital in preparation for transitioning into a commercial bank. This approval was secured during the bank’s 29th Annual General Meeting held in June.
In light of this transition, the bank’s Memorandum of Association will be amended to reflect changes in share capital resulting from the capital raise and allotment process, as informed by the bank’s directors during the AGM.
Additionally, during the AGM, shareholders approved a proposed dividend of 10 kobo per ordinary share of 50 kobo for the year ended December 31, 2022, demonstrating the bank’s commitment to rewarding its investors.