Jaiz Bank Raises Post-Tax Profit by 114% in FY’19

By Adedapo Adesanya

Leading non-interest banking institution in Nigeria, Jaiz Bank Plc, recorded N1.8 billion Profit After Tax (PAT) for the year 2019 as revealed in the company’s unaudited Consolidated Financial Statement for the year under review.

The post-tax profit declared by the firm last year was 114 percent better than what was achieved in the 2018 financial year, N834 million.

In the year under consideration, the lender declared a profit before tax of N2.1 billion, higher than the N897.7 million in the previous year, while the sum of N315.2 million was paid as tax to the government, higher than N63.3 million paid in the previous year.

According to the financial results, the bank’s gross income actualised from all its financing transactions rose to N13.5 billion, comprising N7.5 billion from financing contracts and N6.0 billion from the bank’s investment activities.

In the same period of 2018, the company recorded N7.5 billion as gross income from financing transactions, with N6.3 billion raked from financing contracts and N1.2 billion realized from investment activities.

In the consolidated statement for the year under review, Jaiz Bank said it paid the sum of N2.9 billion to investment account holders as return on equity, higher than N1.9 billion paid in the 2018 fiscal year, while it raked N10.6 billion as a Mudarib/Equity investor, better than N5.6 billion it made a year earlier.

It further said its net spread after provision stood at N9.5 billion in FY’19 in contrast to N5.8 billion in FY’18, while the fees and commission brought in N1.0 billion for the company against N988.4 million in the same period of 2018, with other operating income reducing to N188.3 million from N240.3 million, leaving the total income at N10.6 billion in the period under review against N7.1 billion in the same time of 2018.

Jaiz Bank said its staff costs increased in the 2019 financial year to N3.9 billion from N2.8 billion in 2018, while the operating expenses also rose to N3.9 billion from N2.7 billion.

It was a good year for Jaiz Bank as the company’s total assets rose in one year by 54 percent from N108.5 billion in 2018 to N166.8 billion in the period under review. The liabilities of the non-interest bank increased in the 2019 financial year by 71 percent to N96.1 billion from N56.3 billion, while the customer deposits increased to N69.6 billion from N46.0 billion a year earlier.