Gross Earnings: The Bank’s gross earnings for its half year report, reflected a marginal decline of 0.48%, as the 2019 half figure stood at N285.316 billion, as against N286.702 billion recorded in 2018 half year report, this decline arose from the decline recorded in the following income line; Interest income, net gains from foreign exchange, net gains from financial instrument and dividend income.
Revenue: The Bank’s interest income performance for its half year reporting period indicated a 1.67% decline between the 2019 and 2018, as at June YTD interest income stood at N221.780 billion as against N225.404.00 billion, the marginal decline was as a result of 10.81% decline in interest income from Loan & advances to Banks and Customers.
Operating Expenses: The operating expenses for the Banks half year recorded a 24.33% appreciation, this increase was fueled by other operating expenses, depreciation and insurance claims expenses, as all this variables increased by, 34%, 21% and 107% respectively.
Bottom Line: The Banks overall performance lost its growth steam has all its indicator reflected a growth decline although marginal, while the only exception was Credit Impairment Charges and Net Interest Income After loan Charges, which was as a result of prudent management of the Bank’s Risk Asset, however this alone did not hold back the Bank’s Bottom Line from shrinking by 5.48% as the Its Operating Expenses inched higher by 24.33%. On basis of the heighted point we conclude that the Banks performance within the first half of the year contracted by decline recorded in its core operating activities as against increasing operating expenses.FBNH H1 2019 RESULT ANALYSIS