Access Holdings Plc has reported a pre-tax profit of N348.9 billion for the first half of this year, reflecting a remarkable 108% increase compared to N167.6 billion during the same period in 2023. This surge in profits comes as Nigerian banks continue to benefit from high interest rates.
Thank you for reading this post, don't forget to subscribe!The group, which oversees Access Bank, achieved a post-tax profit of N281.3 billion in the first half of 2024, up from N135.4 billion the previous year, marking a 107.7% growth. A key factor in this success was a significant 37% increase in total assets, which reached N26.7 trillion at the start of the year.
Interest income soared to N1.29 trillion, up 116% from N596 billion in the first half of 2023, while net interest income also rose dramatically to N513.4 billion, a 129% increase from N224.2 billion. Additionally, the company recorded N251 billion in fee and commission income, a 101% rise from N125 billion last year.
The firm’s net foreign exchange gains stood at N253.9 billion, slightly up from N244.3 billion in the previous year. Access Holdings has seen its investment securities portfolio grow to N10.1 trillion, an 88% increase since the beginning of the year. This growth has been largely attributed to a staggering 226% rise in its treasury bills portfolio, now valued at N2.46 trillion, and a 211% increase in FGN bonds, which reached N2.65 trillion.
The company’s loan portfolio also expanded to N10.8 trillion from N8 trillion earlier in the year. In July 2024, Access Holdings conducted a rights issue worth N351 billion, although the results of this initiative have not yet been disclosed.
Furthermore, Access Bank is nearing completion of the acquisition of the National Bank of Kenya, pending regulatory approval from the Central Bank of Kenya and the Competitions Authority of Kenya. The agreement signed with KCB Group reflects a deal valued at approximately $100 million, based on NBK’s book value of $79.77 million as of 2023.
