Ecobank Group Recorded N1.21 Trillion Revenue in Q3 Report

Ecobank Group recently announced its nine (9) months of earnings for this year ended in September 2023, and the group recorded a 59% increase, which was N1.21 trillion, far greater than the record of 2022, which was N761.29 billion for the same period. 

This was revealed in the Audited Consolidated Financial Statements for the period ending September 30, 2023, filed with the Nigerian Exchange Limited on Thursday.

It was earlier stated that Ecobank delayed filing its Q3 financial results over the external audit of the results for the period. In the notice on the delay filed with the NGX,  the Board and Management of Ecobank Transnational Incorporated said that it decided to undergo an audit of the 2023 Third Quarter Financial Results of the Ecobank Group, the PUNCH reported.

The Q3 results for Ecobank were reported both in Naira and the United States Dollar, and it shows that the bank gained in the Naira financial records but declined by 15%, or $2.084 billion, when recorded in dollars. Ecobank revenue (operating income) rose 12% to $1.518 billion and 55% to N884 billion.

The bank said that the increase witnessed was attributed to the net impact of higher interest rates, particularly in Anglophone West Africa and Nigeria,  growth in the volume of interest-earning assets, significantly higher fees from treasury services and solutions, and higher cash management fees.

Ecobank's non-interest revenues increased by 29% and were driven by foreign currency sales, cash management, and payments. 

Ecobank operating profit before impairment charges increased by 19% to $702 million, compared to the corresponding year, which settled at 64% to N409 billion.

Ecobank profit before tax rose by 55% to N262 billion, and profit for that period increased by 56% to N183 billion.

Ecobank total assets rose by 55% to N20.69 trillion, with loans and advances from customers rising by 56% to N7.89 trillion from the corresponding year, which settled at N5.07 trillion. Ecobank deposits from customers rose by 56% to N14.93 trillion.

Commenting on the results of the company at the end of  Q3, the Chief Executive Officer of Ecobank Group, Jeremy Awori, said, 

Ecobank generated a profit before tax of $450 million for the nine months leading up to September. Moreover, we delivered profits attributable to ETI shareholders of $224 million, which translated to a return on tangible shareholders’ equity of 25.6% on the back of solid revenue growth of 34% in constant currency and an improved cost-to-income ratio of 53.7%.

Overview of Ecobank’s Profit for Q3 Report

• Net interest income: N359.2 billion, +113% YoY 

• Fee and commission income: N95.8 billion, +80% YoY 

• Fee and commission expense: N10.3 billion, +108% YoY  

• Trading income: N54.2 billion, +119% YoY 

• Non-interest revenue: N147.0 billion, +73% YoY 

• Operating income: N378.6 billion, +98% YoY  

• Operating expenses: N200.5 billion, +84% YoY  

• Staff expenses: N86.4 billion, +87% YoY  

• Profit before tax: N111.9 billion, +87% YoY 

• Profit for the period: N77.7 billion, +94% YoY  

• Total assets: N20.7 trillion, +55% YTD  

• Return on Equity: 16% (9M 2023) 

Ecobank is currently operational in 35 African countries, has a subsidiary in France, and has representative offices in the United Arab Emirates, London, UK, Beijing, China, Johannesburg, South Africa, and Addis Ababa, Ethiopia.