Access Bank Plc released its Q3 2020 Unaudited results for the period ended September 30th, 2020.
Gross Earnings grew by 15.4% to N593bn from N514bn in the previous quarter.
Profit before tax grew by 15.7% to N117bn.
Profit after tax grew by 15.7% to N102bn.
Net Assets grew by 12% from N607bn to N679bn.
Group Unaudited Results for the Nine Months ended 30 September 2020
Access Bank delivered strong top-line figures despite a challenging and fast-changing macro and banking landscape, occasioned by the COVID-19 Pandemic and the consequent decline in oil price.
This is an attestation to the effective execution of our strategies and strong risk management culture.
The Group recorded gross earnings of N592.8bn (+15% y/y), on the back of a 100% y/y growth in non-interest income to N217.5bn, buttressing the effectiveness of our strategy and capacity to generate sustainable revenue.
We continued to grow our transaction banking income through the optimisation of our channels and electronic banking platforms (+105% y/y), notwithstanding the reduction in transaction charges following the revised guide to bank charges in December 2019.
Despite the high cost of operating the enlarged franchise and increase in net impairment charge, Profit Before Tax stood at N116.6bn.
Customer deposits also grew by 24% YTD to N5.26trn in Sept’ 2020 with a strong savings account deposits of N1.23trn. Similarly, net loans and advances grew by 15% to N3.53trn.We maintained a robust capital and liquidity positions of 21.1% and 48.0% respectively, well above regulatory levels.
We recorded consistent growth in our retail banking business, as evidenced by the growth in customer sign-on by 3.2mn customers YTD via our financial inclusion strides. Transaction volume and value also grew based on our deliberate investments in digital banking.
Asset quality continued to improve as guided to 4.2%, on the back of impairment charges, strong recoveries and a robust risk management approach.
This is expected to trend downwards as we strive to surpass the standard we had built in the industry prior to the merger with Diamond Bank.
We have continued to grow our African footprint in a capital-efficient and profitable manner, in furtherance of our vision to be the World’s most respected African Bank and Africa’s payment gateway.
Our African expansion strategy is two-pronged; consolidating in markets we already exist (Mozambique and Zambia) to become major players, and entering into new key African markets and trade corridors (Guinea, Kenya and South Africa).
In addition, we have received the Central Bank of Nigeria’s Approval-In-Principle for a holding company (“HoldCo”) structure which will enable us further accelerate our objectives around business diversification, improved operational efficiencies, talent retention as well as robust governance.
The year has been challenging for all and I would like to appreciate our customers for their unwavering loyalty in these uncertain times.
Recognizing the adverse effects of the recent events on our customers, we remain committed to delivering superior value to our customers and providing innovative solutions for the markets and communities we serve.
Going into the last quarter of the year, our focus remains on consolidating our retail momentum and expanding our African footprint.The next two years will see updates with regards the realization of synergies and actualization of the Bank’s strategic intent.
Finally, I would like to thank our people and shareholders as we could not have achieved these feats without their dedication, commitment and support.
Herbert Wigwe, GMD/CEO