The N7.9 billion profit after taxation declared by the bank represents 837 per cent growth in post-tax earnings on an annualised basis compared to the N564 million for the 8-months ended December 2009, following the 2009 change in financial year-end.
The Group audited result for the financial year also showed that while profit after taxation grew by 837 percent, Gross earnings for the Group was N63 billion, a 17 per cent annualised growth over the period ended December 2009.
A statement by the bank also showed that Risk assets grew by 38 percent from N240 billion as at December 2009, to N330 billion as at December 2010.
Net interest margin however, narrowed during the year. This, the bank said was due to the low interest rate environment and the focus on high quality credit, resulting in a 10 percent decline in net interest income and was however compensated for, by the 59 percent increase in non-interest income during the year, coming largely from borrowing relationships.
Operating expenses were kept under control and grew by only 3 percent in the year.
Further analysis of the financials released by the bank showed Asset quality improved significantly with the NPL ratio of the group dropping from 9 percent in December 2009 to 5.5 percent in December 2010.
Total assets and contingents grew by 17 percent from N514 billion in December 2009 to N604 billion in December 2010. The statement attributed this growth to improved funding, with deposit liabilities growing 26 percent to N335 billion from N266 billion in December 2009..
The Bank has proposed a dividend of 35 kobo, up by 600 percent from the 5kobo per share for the eight months ended December 2009.