The earnings of Ecobank Transnational Incorporated (ETI), a pan-African banking group, rose to the highest in at least nine years of N311 billion in the first six months of 2024.
According to the bank’s latest financial statement, its Profit After Tax (PAT) rose by 196 percent to N311 billion in the first half of 2024 from N105 billion in the corresponding period of 2023, while the bank’s gross earnings increased by 179 percent to N1.78 trillion.
Chief Executive Officer (CEO) of Ecobank Group, Jeremy Awori said: “Our half-year results demonstrate the strength of our diversified business model. Despite facing macroeconomic challenges in some of our operating markets, the company increased its net revenues to $994 million and its profit before tax by 5 percent to $324 million.
“Excluding the impact of foreign currency translation due to US dollar strength, the profit before tax increased by 23 percent. The return on tangible shareholder’s equity (ROTE) was 34.7 percent compared to 27 percent in the previous year.”
In a statement issued by the bank, Awori also said: “Our results also highlighted the significant progress made in our GTR strategy, with double-digit revenue growth in constant currency across all our businesses amounting to 14 percent, 23 percent and 25 percent in Corporate and Investment Banking, Commercial Banking and Consumer Banking, respectively.
“We gained share in trade services and observed increased client activity in wholesale payments and cards. Our transformation agenda remains our top priority, with a focus on improving customer experience and driving efficiency and productivity.
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“Despite persistent inflation, we achieved an efficiency ratio of 53.6 percent. We continue to right-size our risk-weighted assets, and our deposits franchise remains strong.”
He also explained that customer deposits rose 13 percent in constant currency to $19 billion, with current and savings accounts (CASA) comprising 81 percent of total deposits.
“With a loans-to-deposit ratio of 54 percent, we have room to take advantage of credit opportunities that meet our risk appetite if required. We have confidence in the company’s long-term prospects.
“While near-term monetary and fiscal challenges persist, our sole focus remains enhancing the customer experience and meeting their financial needs. I thank our fellow Ecobank employees for their commitment, hard work and dedication in delivering the results,” Awori concluded.
