By Abdulfatah Babatunde
Wema Bank PLC has announced its full Year 2023 Audited financial statement, recording a profit before tax growth of 196 per cent from ₦14.75 billion to N43.59 billion.
The bank also proposed a dividend of 50 kobo per share; up from 30 kobo in 2022. It recorded deposit growth of 60 per cent to ₦1,860.57 billion from ₦1,165.93 billion reported in 2022.
“There is Return on Equity (ROE) of 39.28 per cent, NPL of 4.31 per cent and N40 billion first tranche of Capital raise awaiting final regulatory approvals,” a statement from the bank said.
Commenting on the results, the MD/CEO, Mr Moruf Oseni said that 2023 showcased a revitalised Wema Bank. This, he said, is evidenced by “the considerable improvements in our numbers”.
“The performance is attributable to impressive improvements in Profit before Tax which grew strongly by 196 per cent.
“The growth in Gross Earnings by 72 per cent, Total Assets by 56 per cent and earnings per share at 279.5 kobo shows core improvements in the bank’s balance sheet.
“Additionally, our cost-to-income ratio at 64.37 per cent witnessed significant improvement from the previous year.
“We also completed our N40 billion Capital raise exercise, awaiting regulators’ final verification.
“This exercise actively positioned us for the new capital licensing requirements of the Central Bank of Nigeria. Wema Bank will accelerate its capital management plans and ensure we embark on the journey to raise the required capital as quickly as possible,” Oseni said.
The bank will propose a dividend of 50 kobo per share to its shareholders at the next Annual General Meeting.
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This is in line with the bank’s capital conservation strategy. It is also to ensure continually provides returns to its shareholders in anticipation of raising additional capital later this year.
“We are satisfied with the bank’s performance in the first year of the new leadership team, as we move in a strong growth trajectory.
“Our target is clear. We want to become a Top-Tier Bank in the industry powered by Digital excellence.
“We have carved a niche for ourselves with an advanced corporate internet banking platform, known as ALAT, as a Retail platform.
“But we are now positioning the enterprise as the Intelligent platform for all financial services,” the bank’s CEO stated.
He said the bank would partner with the Federal Government to upskill two million MSMEs.
“We will provide engagement platforms for all NYSC members. And we are now implementing partnerships in health, education, women empowerment and the green economy.
“In the months ahead, we will develop platforms and support initiatives that prioritise the needs of our customers.
“This will be by leveraging technology in solving problems across all sectors.”
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