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Wema Bank raises earnings by 20 pct

Wema Bank has reiterated its commitment to attaining growth through innovations, saying it is in the final stage of its restructuring process that started in 2009.

At its Annual General Meeting (AGM) in Lagos, the bank witnessed a growth of its gross earnings by 20.07 per cent, from ₦54.36 billion in FY2016 to ₦65.27 billion in FY2017.

Its Managing Director and Chief Executive Officer, Segun Oloketuyi, said the growth was supported by the launch of ALAT, Nigeria’s first fully digital bank, enhancing Wema Bank’s already existing alternate platforms, which recorded a combined growth rate of 205.67 per cent in transactions executed and with an estimated 30,000 accounts opened monthly.

“We have taken necessary steps to consolidate on the growth achieved in the new financial year,” he said.

Commenting on the financial year 2017 results, Oloketuyi provided further insights into the performance of the bank during the period. “Despite the slow start to the year, 2017 recorded significant progress, highlighted by the introduction of the Investor & Exporters (I&E) window and recovery in oil prices.”

On plans ahead of the new financial year, he informed the shareholders: “We approached the money market in November 2017 to raise ₦25 billion in two series under a commercial paper programme; Series 1: ₦10 billion – 182-day tenor and Series 2: ₦15 billion – 270-day tenor. Given the relative decline in interest rates and possible growth within the economy, the bank will be re-opening the second series of its ₦50 billion debt issuance programme. This should commence from the second quarter of the year.”

On his part, Chief Finance Officer, Tunde Mabawonku, noted that the bank’s earnings from non-interest income remained strong, growing by 24.44 per cent from ₦9.80 billion in 2016 to ₦12.19 billion in 2017; surpassing its 2017 guidance of a 19 per cent growth rate.

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