Stanbic IBTC Holdings Plc has declared an interim dividend of N1.00 per share despite drop in profitability for the first six months of its financial year, ended June 30, 2021.
The holding company’ audited financial results for the half-year ended June, 2021 was released on the Nigerian Exchange Limited. The financial institution reported a 26.1 per cent plunge in its H1, 2021 audited gross earnings to 93.592 billion from N126.570 billion in H1, 2020.
The group profit after tax dropped by 50.1 per cent to N22.543 billion as against N45.204 billion reported in H1, 2020, while earnings per share stood at N1.92 lower than N4.19 declared in 2020.
Interest income declined by 19.77 per cent from N55.130 billion to N44.229 billion in 2021, while interest expense also down by 35.44 per cent to N11.350 billion from N17.581 billion.
From the balance sheet position, the group total assets decreased by two per cent to N2.43 trillion as at June 30, 2021 from N2.49 trillion reported in full year ended December 31, 2020.
As Gross loans and advances up 21 per cent to N790.6 billion as at June 30, 2021 from N655.3 billion in 2020full year, customer deposits increased by 17 per cent to N958.4 billion from N819.9 billion in 2020 full year.
The chief executive of Stanbic IBTC Holdings, Dr Demola Sogunle recently said “The private sector activities improved during the first half of 2021 following the easing of restrictions in the later part of last year.
IBTC Purchasing Managers’ Index remained above the 50-mark throughout the period, indicating expansion in business activities.
“We also saw interest rates improve significantly in the second quarter, which drove activities in the fixed income market. That said, headline inflation remained high, constraining consumer purchasing power.
“The improvement in business activities positively impacted our performance in the second quarter. This improvement meant that we optimized opportunities to support our customers through lending.”
He expressed that the bank remains focused on long term value creation for stakeholders, as it launched the Stanbic IBTC Infrastructure Fund under asset management business.