Access Holdings Profit Grows by 306% in 2023 FY

Access Holdings recently reported that its profits increased by 306.91% to N619.32bn for the financial year 2023, far from the corresponding year, which settled at N152.20bn in 2022.

This was revealed in the 2023 consolidated and separate financial statement submitted on Wednesday to the Nigerian Exchange Limited.

According to the Access Holdings results, the company's revenue increased by 86.95% to N2.59 trillion from N1.39 trillion the previous year.

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It stated that the increase in revenue was 

"From interest income, which grew by 100% year-on-year and non-interest income (67.9% year-on-year growth)".

"Growth in interest income reflects a higher yield environment, supported by a 62% year-on-year expansion in earning assets. Improvement in non-interest income was from growth in related key income lines (trading income, fees & commissions, e-business income) and an increased volume of transactions across our expanding retail network and digital channels."

The holding stated that the N628.93bn FX gain recorded during the period under review also contributed significantly to the group's profit.

Also,  Access Holdings assets rose significantly by 77.94% to N26.89tn from N14.99tn in the previous year.

The total dividend for 2023 will be N2.10 per share. It will be subject to the applicable withholding tax; Access Corporation's shareholders will, therefore, receive approximately an N63.98 billion dividend at N1.80 for each common share of N0.50.

Access Holdings customer deposits increased by 65.6% year-on-year to N15.3 trillion from N9.3 trillion in 2022, driven by a combined growth of 75% in demand deposits and 47% in savings accounts.

Access Holdings' tenored deposits also grew year over year, as loans and advances were up by 60.5 percent to N8.9tn from N5.6tn in 2022.

Access Holdings' non-performing loan ratio improved to 2.8% from 3.2% in 2022, and shareholder funds closed at N2.18tn in 2023, about 77.5% higher than the 2022 position of N1.23tn.

During the period under review, AccessCorp lost N6.15bn to fraud and forgery incidents compared to N1.44bn in 2022.

Access Holdings' operating expenses increased by 38.9% to N697.5bn, reflecting the operating environment as headline inflation in Nigeria closed at 29.82 percent in December 2023.

In 2023, the banking group and non-banking subsidiaries expanded their footprint and franchise as Access Holdings Plc completed the $300 million capital investment facility into Access Banking Group.

Access Bank UK also opened a branch in Paris and received regulatory approval to commence operations in Hong Kong. Before Herbert Wigwe's demise, it was reported that he planned to expand the bank to the Asian continent.