Wema Bank’s Profits Surge with 174% Increase in Q3 2024
Wema Bank Plc has announced its unaudited financial results for the third quarter of 2024, recording an impressive profit before tax (PBT) of ₦60.62 billion. This figure reflects a staggering 174% year-on-year growth from the ₦22.13 billion reported during the same period in 2023, as disclosed to the Nigeria Exchange Group (NGX).
The bank’s balance sheet showed substantial growth, with total assets rising by 38% to ₦3.08 trillion in Q3 2024, up from ₦2.24 trillion in FY 2023. Deposits also saw a notable increase, with a year-to-date growth of 23%, reaching ₦2.29 trillion, compared to ₦1.86 trillion last fiscal year. Furthermore, loans and advances experienced a 25% boost, totalling ₦1.003 trillion, with a non-performing loan (NPL) ratio of 3.19% for Q3 2024.
Wema Bank’s Q3 performance was further bolstered by a remarkable 91% growth in gross earnings, amounting to ₦288.32 billion. Interest income rose by 81% year-on-year to ₦229.11 billion, and non-interest income surged by 144% to ₦59.21 billion, underscoring a diversified revenue base.
Highlighting the bank’s financial robustness, its Return on Equity (ROAE) stood at 38.62%, with a pre-tax Return on Assets (ROAA) of 2.64%. The Capital Adequacy Ratio (CAR) was measured at 14.06%, while the cost-to-income ratio improved to 60.47%.
The Managing Director/Chief Executive Officer, Mr. Moruf Oseni, commented on the results, stating, “Our Q3 2024 numbers speak to our resilience despite a tough operating environment. We will sustain our growth trajectory into 2025. The performance is headlined by impressive improvements in Profit Before Tax, which grew strongly by 174%. The growth of Gross Earnings by 91.07%, Total Assets by 38%, and earnings per share at 328.1 kobo shows the core improvements to our balance sheet. In addition, our cost-to-income ratio at 60.48% has witnessed significant improvement from the previous period.”
As Wema Bank continues to push forward with its growth strategy, these results highlight the bank’s ability to navigate challenges in the financial sector while delivering value to shareholders and stakeholders alike. Nestlé Unveils New MAGGI Chicken Cubes with Enhanced Flavour
