Access Holdings Plc reported an increase in its profits before tax on Thursday, with N729 billion in 2023, a 335 percent jump from 2022.
In its financial statements for the year ended December 31, 2023, the group also stated an 87 percent rise in total earnings to N2.59 trillion, up from N1.38 trillion in 2022.
During the year, the group's total earnings also increased by 87 percent to N2.59 trillion, up from N1.38 trillion in 2022.
Olakunle Aderinokun, Head of Media and Public Relations at Access Holdings Plc, mentioned in a statement to PUNCH Online on Thursday that the group's growth for the financial year was mainly driven by a 100 percent increase in interest income and a 67.9 percent growth in non-interest income.
The group's net interest income rose by 93.5 percent to N695.4 billion compared to N359.6 billion in the previous year. The yield on earning assets also increased from 9.2 percent in 2022 to 12.8 percent.
Loans and advances grew by 60.5 percent to N8.9 trillion, following an improvement in the non-performing loan ratio, which dropped to 2.8 percent from 3.2 percent in 2022.
The group ended the year with N2.18 trillion in shareholders' funds, marking a 77.5 percent increase from N1.23 trillion in 2022.
In a comment on the performance, Bolaji Agbede, Acting Group Chief Executive Officer of Access Holdings Plc, stated: “The Group's strong performance in 2023 shows our dedication to creating value for our shareholders and stakeholders in challenging operating environments.
“The significant growth in our earnings demonstrates the resilience, strategic focus, and proficiency of our team, as well as the diversity of our offering across banking, pension, insurance, and payments, driven by robust risk management, best-in-class corporate governance, and cutting-edge technology.
“As we look ahead, we are committed to driving sustainable growth, consolidating our footprint, and accelerating the achievement of our 2027 strategic objectives.
In 2023, Access Holdings' regulatory ratios improved, with capital adequacy ratios for the group and its flagship subsidiary, Access bank, at 19.01 percent and 21.09 percent, respectively.
The liquidity ratio stayed strong at 51.8 percent, well above the required level.
Roosevelt Ogbonna, Managing Director/CEO of Access Bank, remarked: “As we review the results of 2023, marked by strong growth, strategic acquisitions, and expansion into key trade hubs, I am excited about the prospects for Access Bank. Our unwavering focus on customer-centricity, digital innovation, and operational excellence has positioned us well to capitalize on emerging opportunities. As we enter the consolidation and efficiency phase of our Africa and international expansion strategy, we remain committed to driving sustainable growth, enhancing shareholder value, and delivering exceptional banking experiences to our customers across Africa and beyond.
Access Holdings' other subsidiaries also achieved notable results, with Access Pensions Limited recording a 75 percent growth in gross revenues, amounting to N12.3 billion, while Hydrogen Payment services posted an operating income of N2.1 billion and a PBT of N161 million.
The company has suggested a final payment of N1.80 kobo per share for the 2023 financial year, making the total dividend N2.10 kobo per share with a total worth of N74.6bn.
Aigboje Aig-Imoukhuede, the Chairman of Access Holdings Plc, stated, “While we go through this changing time, we are still sure in the leadership of the Group to continue this upward pattern and establish the benchmark for financial service groups in the continent. Access Holdings has a impressive history of excellence, and we will keep providing unmatched value to our stakeholders.”
