Fidelity Bank Posts 33.5% Increase in Profit in 2021 Financial Year

Nigeria’s leading tier II bank, Fidelity Bank Plc reported 21.61% increase in gross earnings for the financial year ended December 31, 2021.

Gross earnings stood at N250.774 billion, up from N206.204 billion in 2020, the lender disclosed this in its audited financial statement obtained by Investors King.

Interest and similar expense grew by 50% to N108.687 billion from N72.630 billion filed in the corresponding period of 2020.

The surge in interest and similar expense dragged on the bank’s net interest income to N94.877 billion, representing a decline of 8.88% when compared to N104.123 billion achieved in 2020.

Net interest income after credit loss expense inched slightly higher to N87.842 billion in 2021 from N87.265 billion in 2020. Fee and commission income (N29.406 billion) and other operating income (N17.803 billion) compensated for surge in interest and similar expense to bolster the lenders overall earnings.

Profit before income tax rose by 35.69% from N28.054 billion to N38.066 billion. The bank paid N2.487 billion in income tax.

Bring the profit for the year to N35.579 billion, a 33.5% increase from N26.650 billion.

Nneka Onyeali-Ikpe, MD/CEO, Fidelity Bank Plc has this to say on the bank’s performance, “We closed the financial year with strong double-digit growth in profit and across key balance-sheet lines, which reflects the disciplined execution of our strategy and capacity to deliver superior returns to shareholders. Profit before tax grew by 35.7% to N38.1bn from N28.1bn in 2020FY, which translates to an increase in RoAE to 12.5% from 10.5% in 2020FY.”