Wema Bank Grows Profit by 11% in Half Year 2017

Wema Bank in its H1 2017 financials had interest income grow by 26% to N25bn , a 46% rise in income expense to N17bn led to a meager 0.5% decline in net interest income to N8.5bn. Operating expense dipped by 40% to N6.9bn while the bank recorded net impairment of N88mn. Profit before tax however improved by 10% to N1.4bn, while after tax profit rose by 11% to N1.2bn.

Balance sheet numbers showed the bank grew its loan book by 20% to N206bn while deposits inched up by 5% to N292bn translating to an 8 percentage point growth in loan to deposit ratio to 70% from 62% in FY 2016. Net asset s moved up by 5% to N50bn. See details below.

Income Statement	H1 2017	H1 2016	% Change
Interest Income (mn)	25,453	20,157	26%
Interest Expense (mn)	16,973	11,635	46%
Net Interest Income (mn)	8,480	8,522	-0.49%
Operating Expense (mn)	6,868	11,393	-40%
Net Loan Loss Expense/Credit (mn)	(88)	61	-244%
PBT (mn)	1,433	1,298	10%
TAX Expense/Credit  (mn)	215	195	10%
PAT (mn)	1,219	1,103	11%
Balance Sheet	H1 2017	FY 2016	% Change
Fixed Assets (mn)	17,345	16,106	8%
Total Assets (mn)	385,975	391,760	-1%
Loans & Adv (mn)	205,714	171,994	20%
Deposits(mn)	291,903	277,873	5%
Borrowings (mn)	24,675	32,315	-24%
Total Liabilities (mn)	336,286	344,593	-2%
Net Assets (mn)	49,689	47,167	5%