By Chioma Obinagwam
Access Holdings Plc has said it recorded a 52.6 percent increase in its profit after tax in its Audited Consolidated and Separate Financial Statements for the period ended June 30, 2023, released to the Nigerian Exchange Group (NGX).
Confiance News gathered from the bank on Monday.
“Access Holdings reported a robust gross earnings figure of ₦940.3bn, reflecting an impressive year-on-year (y/y) growth of 58.9%. This substantial surge was driven by a combination of 63.0% growth in interest income and 51.9% increase in non-interest income.
“The Group delivered a profit before tax (PBT) and profit after tax (PAT) figure of N167.6bn and N135.4bn, translating into a 71.4% y/y and 52.6% y/y growth respectively,” the statement disclosed.
In a demonstration of the trust and confidence reposed in the institution by its customers, Access Holdings also witnessed a significant 35% year-to-date growth in customer deposits, concluding the half-year at a commendable ₦12.5trn. This growth was inclusive of all business segments, firmly solidifying the Group’s stature as the largest financial institution in Nigeria by total assets.
Access Holdings’ synergies across its business verticals yielded remarkable results, as the company experienced a 39.0% y/y increase in total assets and a 40.6% year-on-year rise in shareholders’ funds. As of the mid-year point in 2023, total assets and shareholders’ funds stood at ₦20.9trn and ₦1.7trn, respectively.
These striking figures underscore the efficacy of the Group’s strategic approach and its ability to generate value from a diversified business portfolio, spanning banking, asset management, and payment services, operational in twenty countries across four continents.
“Our growth plans for the African continent remains firm and clear, driven by the strong long term growth prospects and trade opportunities seen across many of the countries,” commented Herbert Wigwe, Group Chief Executive Officer, Access Holdings Plc.
“Continuing with our 5-year cyclical strategy, our primary objective remains to transform Access Holdings Plc into a leading financial and ecosystem player, fostering opportunities for shared prosperity` among all stakeholders,” Wigwe added.
Notably, the Group’s Pensions business surpassed the ₦1.0trn in Assets Under Management (AUM) milestone, thereby ranking as the 4th largest PFA by AUM and the 2nd largest by the number of registered retirement savings accounts (RSAs). Furthermore, its payments vertical, Hydrogen, processed over ₦3.0 trillion in transactions, achieving a 407% month-on-month growth in point of sale (POS) transactions and 99% system uptime on account switching within the period.
Despite operating in a high inflationary environment, Access Holdings improved its cost-to-income ratio (CIR) by 4.9% y/y, accomplished through prudent adjustments in personnel costs, effective management of regulatory fees, and continued investments in technology to enhance cost efficiency and improve the overall user experience.
In terms of regulatory ratios, the Group displayed a robust liquidity position and capital adequacy, surpassing regulatory thresholds with a liquidity ratio (LR) of 50% and a capital adequacy ratio (CAR) of 19.1%.
Access Holdings Plc is a leading multinational financial services group that offers commercial banking, lending, payment, insurance, and asset management services with over 700 branches worldwide.
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