Despite Nigeria’s challenging operating environment, Wema Bank Plc grew profit by 95% in the 2021 financial year, the lender disclosed in its audited financial statements.
In the financial statements obtained by Investors King, gross earnings rose 15% from N81.383 billion recorded in the 2020 financial year to N93.632 billion.
Interest income also inched higher in the year under review, expanding by 15.87% to N74.798 billion. Interest expense stood at N34.922 billion.
The lender grew net interest income to N39.877 billion, representing an increase of 29.26% from N30.850 billion filed in the corresponding year of 2020.
Wema Bank reins in net impairment loss by 62.66% from N5.635 billion in 2020 to N2.104 billion. The substantial reduction in net impairment loss helped bolstered the bank’s net interest income after the impairment charge to N37.772 billion, up from N25.215 billion achieved in 2020.
Similarly, operating income appreciated by 34.63% to N56.607 billion from N42.045 billion in 2020.
Profit before tax jumped by 108.67% to N12.377 billion in 2021 to validate the lender’s ongoing innovative approach to banking operations.
Wema Bank more than doubles its income tax in the year under review, paying N3.451 billion. This was a 154.81% increase from N1.354 paid in tax in 2020.
The lender’s profit after tax stood at N8.927 billion, representing a whopping 95% appreciation from N4.577 billion in 2020.
In August 2021, while commenting on the bank’s performance in the first half and expected growth for remain part of 2021, Mr. Ademola Adebise, the Managing Director, Wema Bank said, “As the economy opens back up fully, we expect to see a stronger performance for full year 2021. Over the course of the second half of 2021, the bank will continue its strong focus on the digital business, pushing for further gains in customer acquisition, consumer lending and transaction volumes while on the commercial side of the bank, we will continue to aggressively grow our commercial lending business alongside trade and other revenue lines.”
