… Posts Gross Earnings Of N1.39 Trillion For 2022
Access Holdings Plc has announced the release of its audited financial statements for the year ended 31st December 2022.
The Group’s gross earnings was up by 43% to N1.39 trillion from N971.89 billion reported in 2021, driven by strong growth in interest income.
However, Profit before tax dropped by 5% to N167.68 billion as against N176.58 billion posted in 2021.
The slight drop in pre-tax profits was due to the decrease in Net foreign exchange gain and other operating income.
According to the bank, the overall Interest Income grew 37% y/y to ₦827billion, driven by a strong loan book growth despite the high inflationary environment.
Net loans & advances to customers grew by 25% across the Banking group, with a deliberate focus on credit disbursement to critical segments and growth sectors of the economy.
“We also saw good growth across the Subsidiaries, in particular the UK (up 36% to N1.1trillion in 2022)”
Access Holdings Plc ended the year with over 58 million customers across the extensive network of subsidiaries and business verticals.
The company’s asset base grew to ₦15.0 trillion and customer deposits to ₦9.25 trillion, with CASA mix up by 5%, to 63% as a result of leveraging innovation, digital technology and financial inclusion to mobilize sustainable low-cost deposits.
In the second half of 2022, Access Holdings Plc completed the divestment from Pensions Custodian business and acquired significant shareholding in First Guarantee Pensions Ltd & Sigma Pensions Ltd to form Access Pensions Ltd.
This combination resulted in the creation of the 4th largest PFA in Nigeria, with Asset under Management of ₦0.9trilion, putting us clearly in the league of strategic players in the Pensions industry.
”Our Payment business went live with the Switching business in Q3 2022, while the other areas of the business will become fully operational from Q2 2023. The overall business outlook for 2023 remains strong as we begin our new 5-year strategic journey which aims to make us one of the top 5 financial services organization in Africa by 2027,” Access Holdings stated.
The result is coming in the midst of volatile economy characterized by increasing inflation and other economic headwinds
For instance, the headline inflation rate rose to 22.04% in March, a 0.13% increase from the 21.91% rate recorded in February, according to the latest report published by the Nigerian Bureau of Statistics (NBS).
The state’s statistics agency attributed the jump in prices of food, housing, fuel and gas, among others as the figure shows a consistent increase in inflation rate for the last two years.
As a way of reigning in the inflationary pressure, Central Bank of Nigeria has continued to increase the monetary policy rate, an action that continues to increase lending rates with the attendant reduction in banking Intermediation.
Consequently, Access Holdings’ Other Operating Expenses grew by 46.98% to N341.32 billion from N232.21 billion in 2021.
The Board of Directors proposed final dividend of N1.30k per ordinary share of 50 Kobo each on the 35,545,225,622 issued ordinary shares of 50k each payable to shareholders on the register of shareholding at the closure date. Withholding Tax will be deducted at the time of payment.
Below are more key highlights from Access Holdings’ audited financial statement.
Gross earnings
2022 FY: N1.39 trillion
2021 FY: N971.89 billion
Change: +43%
Net interest income
2022 FY: N359.63 billion
2021 FY: N301.41billion
Change: +19.32%
Other Operating Expenses
2022 FY: N341.32 billion
2021 FY: N232.21 billion
Change: +46.98%
Pre-tax profit
2022 FY: N167.68 billion
2021 FY: N176.58 billion
Change: -5%
Net Profit after tax
2022 FY: N152.20 billion
2021 FY: N160.22 billion
Change: -5%
Bottom line
