Saturday, 08 February 2020
Saturday, 08 February 2020 17:51

WEMA Bank posts 32% rise in profit

Wema Bank Plc has reported a 32.5% increase in its after-tax profit for Full Year 2019 compared to the corresponding period of 2018.

The full account of the bank’s financial performance in the review period is published in its Unaudited Financial Statements for the Period Ended 31 December 2019, posted on the website of the Nigerian Stock Exchange (NSE) on Thursday.

Gross Earnings grew from N71.530 billion at FY2018 to the N91.539 billion recorded at FY2019, implying a 30% increase.

The lender’s Profit Before Tax (PBT) advanced by 30.6% from N4.798 billion at FY2018 to N6.266 billion in the same period of 2019.

Profit for the Year went up to N4.406 billion at FY2019 from the N3.326 billion posted at FY2019, translating to a 32% growth.

Earnings Per Share (EPS) climbed up by 32.6%, moving from 8.6k at FY2018 to 11.4k at FY2018.

Established in 1945 as a private limited liability company, it became a quoted company on the NSE in 1990. Its key operations cover retail banking, commercial banking and corporate banking.

At the moment, it has over 38.574 billion outstanding shares with a market capitalisation of about N27.388 billion and a 4.23% dividend yield.

Wema Bank currently trades on floor of the NSE at N0.66.

Earnings Per Share is the profit that each unit of a company’s ordinary shares  yields  during a particular period. It is simply calculated by dividing the Profit After-Tax by the company’s total outstanding shares.  Increase in a company’s EPS often reflects an improvement in its bottom-line while a fall, on the other hand, indicates a declining profit.

Published in Bank & Finance

As part of its initiative to continuously encourage female entrepreneurs in the country, Ecobank Nigeria last week in Lagos trained over 140 female business owners on digital marketing skills in its state-of-the-art Academy.

The empowerment programme organized by Ecobank Female Entrepreneurs’ Initiative (EFEI) drew participants from Lagos and its environs. EFEI program which was launched by Ecobank last year is designed to recognize women as a separate market segment. The program bundles empowerment and capacity building in form of training and seminars, networking events, loans, trade fairs and exhibition of customers’ products.

Speaking at the event, Head, Consumer Asset Product, Ecobank Nigeria, Daberechi Effiong, said the training which focused on building participants’ digital marketing skills to boost their businesses online. She stressed that apart from growing their businesses, the training would positioned them for increased participation, validation and contribution to their communities.

Effiong who is also the Coordinator of Ecobank Female Entrepreneurs Initiative, explained that “the training focused on social media marketing, search engine optimization, content building and the Ecobank female entrepreneurs’ opportunities. This is designed to provide them with the necessary support to excel in their endeavours, promote and grow their businesses,” she said.

She pointed out that the objectives of EFEI initiative is to foster deeper and longer relationships with women in business by providing a profitable banking platform for their growth and success and making Ecobank the first choice Bank for women across the country.

“In line with the Initiative’s value proposition, women across Nigeria are meant to be trained on skills that will enhance the growth and expansion of their businesses. This is the first tranche of the capacity building training for 2020. We will take the empowerment to other parts of the country during the year,” she stated.

She advised the women business owners to put the training to good use to boost their business, assuring them of Ecobank’s support to grow their business.

Cross section of participants gave feedback on how the training has given them the needed exposure to boost their businesses online and steps they will take using all the information received.

A participant, Managing Director/Chief Executive, Decency-Ella Media Solution, Mrs. Stella Ezeh, said, “ Thank you, it is my pleasure. Looking forward to be contacted in the future training.”

The speakers at the event include Rejoice Chukwuma, Programs Manager/Trainer at Haptics Nigeria for Digital skills training; Ms. Mercy Igbafe, Digital Consultant and Founder of Learntor Nigeria and Mrs. Daberechi Effiong, Coordinator, EFEI.

Published in Bank & Finance

Money lender Carbon, formerly operating as Paylater, has built its service App in a bid to extend its offering to waiting iOS users.

This development is coming on the heels of the company’s recent expansion to Kenya in the last quarter of 2019.

With the new App, Carbon becomes the first money lender firm in Africa to build for iOS users. While this will compliment its list of android-only users, this is Carbon breaking into another market of about 9 million users across its operating countries in Africa.

According to Carbon, its team of software engineers had to crack a tough nut developing the iOS App given the high risk involved when integrating into Apple domains which is both technically challenging and financially intensive.

Henry Uku, the Growth Lead at Carbon, confirmed this when he said Carbon’s 4 year experience in the use of technology to run a money lending business has helped shaped its strategies to build products that can manage risk more efficiently.

“With our learnings over the last 4 years, we’ve built out one of the most sophisticated lending algorithms on the continent that allows us to be platform-agnostic and assess risk a lot more efficiently,” the Product Lead stated.

Beyond this, however, analysts have noted that Carbon is playing its cards to be more competitive, tapping into supposedly dormant spaces and market gaps where other players neglected.

According to the world’s leading statistics portal, Statista, Kenya, with a mobile internet population of 46.87 million users, has about 3.83% iOS users. This amounts to about 1.7 million Apple phone users that Carbon is targeting with its new iOS App.

On the other hand, Nigeria, with a mobile internet population of 123.49 million users, has about 6.07% iOS users. This also amounts to roughly 7.4 million Apple phone users.

The summation, from both countries, is good business for the Carbon company, especially for the fact that iOS users are mostly high earners and heavy spenders who are perfect markets personnel for a loan company as Carbon.

Will Carbon be left to dominate this space by other money lending Fintech players such as Renmoney, Kwikmoney and Zedvance? Will they equally build their iOS Apps to divide market shares soon? What will others do differently to increase patronage? Many others questions on the mind of analysts.

Going first, like what Carbon has done, is good in tech and business, but value sustainability and quality service are the real game changers. Can Carbon hold this mantle forever?

Published in Business

The Central Bank of Nigeria (CBN) has injected the sum of 218.41 million dollars into the retail Secondary Market Intervention Sales (SMIS).

The bank’s Director, Corporate Communications Department, Mr Isaac Okorafor made this known in a statement in Abuja on Friday.

Okorafor said 18 million Yuan was also injected in the spot and short-tenored forward segment of the inter-bank foreign exchange market.

He said the development was in continuation of the CBN intervention in the inter-bank foreign exchange market.

He disclosed that the intervention, like in previous exercises, was for requests in the agricultural and raw materials sectors, adding that the Chinese Yuan on the other hand, was for Renminbi-denominated Letters of Credit.

Okorafor further expressed satisfaction over the stability of the foreign exchange market which, according to him, was largely due to sustained intervention by the apex bank.

He assured that the CBN management would remain committed to ensuring that all the sectors of the forex market continued to enjoy access to the needed foreign exchange.

According to him, this is to ensure that the stability in the foreign exchange market will continue to attract investors .

News Agency of Nigeria (NAN) recalls that the bank was on Tuesday offered authorised dealers in the wholesale segment of the market the sum of 100 million dollars, while the Small and Medium Enterprises (SMEs) and the invisibles segments each received the sum of 55 million dollars.

Meanwhile, N358 was exchanged for a dollar at the Bureau de Change (BDC) segment of the foreign exchange market, while CNY1 exchanged at N46 on Friday.

Published in Bank & Finance
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