Fidelity Bank PLC, a leading Nigerian bank, has reported a strong financial performance for Q1 2023, as seen in its statement of profit or loss and other comprehensive income for the period ended 31 March 2023.
The bank’s gross earnings for the period stood at N101.1 billion, representing a 42.2% increase compared to Q1 2022. Interest and similar income using effective interest rate method also increased significantly by 42.6% to N86.0 billion, while net interest income grew by 74.7% to N52.6 billion.
The bank’s credit loss expense for the period stood at N3.5 billion, which was a significant increase compared to Q1 2022. However, this did not significantly impact the bank’s net interest income, which still grew significantly. The bank’s fee and commission income also increased by 50.0% to N11.9 billion, while fee and commission expense increased by 22.0% to N3.8 billion.
Fidelity Bank’s profit before income tax for the period was N17.9 billion, which was a significant increase compared to Q1 2022. The bank’s income tax expense for the period was N2.3 billion, resulting in a profit for the period of N15.6 billion.
In addition, the bank reported other comprehensive income for the period, which included fair value gains on equity instruments at fair value through other comprehensive income of N0.4 billion and net losses on debt instruments at fair value through other comprehensive income of N1.7 billion.Fidelity Bank’s total assets as at 31 March 2023 were N4.1 trillion, representing an increase of 16.3% compared to Q1 2022. The bank’s loans and advances to customers also grew by 18.5% to N2.2 trillion.
Commenting on the bank’s performance, the CEO, Nnamdi Okonkwo, said: “We are delighted to report a strong financial performance for Q1 2023, driven by strong growth in our gross earnings, interest income, and fee and commission income. We remain committed to delivering value to our customers and shareholders, and we are confident that our strategic initiatives will continue to yield positive results.”