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With just a 79.32 per cent successful shareholder subscription in its recently concluded rights issue to raise N52.6 billion in capital, Access Bank Plc has released its 2015 half year (H1) financials which showed an impressive earnings growth of 43 percent from N117.9 billion posted in H1 2014 to N168.6 billion.
As Pretax profit for the period rose 44 per cent to 39.1 billion from N27.1 billion, Profit after tax increased 39 per cent to N31.3 billion from N22.6 billion in the same period of 2014.
While Total Assets and liabilities grew by 17 per cent to N2.4 trillion and N2.1 trillion respectively, Deposits from customers rose 13 per cent or N188.4 billion from N1.5 trillion recorded in H1 2014 to N1.6 trillion for the same period of 2015, with Interest bearing loans and deposits scaling up 39 per cent to N82.3 billion from N59.1 billion recorded in the reporting period of 2014.
Analysis revealed that the leading bank achieved a slight appreciation of 0.2 per cent in Return on Total Assets (ROTA) from 1.1 per cent recorded for half year 2014, to 1.3 per cent for the current period which indicated increase in the bank’s asset performance
Cost to Income Ratio for H1 2015 is 64.4 per cent, 11.3 per cent points lower than 75.7 per cent recorded in H1 2014, an indication of the bank’s improved efficiency in operations, as other income grew 253 per cent to N52.63 billion from N14.9 billion recorded in the reporting period of 2014.
Return on Average Equity (ROAE) equity increased by 3.3 per cent to 11.3 per cent from 8 per cent achieved in 2014, depicting increased efficiency of shareholder investments.
However the bank, the bank’s leverage ratios remained static as debts to assets ratio was 87.3 per cent for the two financial periods under review while its debts to equity ratio remained 6.9 per cent for both period.
Meanwhile, the bank has declared a proposed dividend of 25 kobo per share with closure book date of September, 3, 2015 and payment date at 10th September, 2015.
By Pita Ochai