The market capitalization of the top five banks, referred to as the Tier-1 banks or FUGAZ, depreciated by 0.30% to close at N2.68 trillion as at 18th of February, 2022, as investors in these banks lost a total of N8.03 billion during the trading week.
After 5 trading days of the week, 4 of the 5 tier-1 Nigerian banks enjoyed positive market sentiments, while Guaranty Trust Holding Co Plc suffered a decline.
According to data from the Nigerian Exchange (NGX), the market capitalization of the top five banks dropped to N2.68 trillion, depreciating by 0.30% during the week.
A summary of the performances of each bank is captured below:
FBNH’s share price grew by 2.70% to close the week at N11.40, with its market capitalization at N409.21 billion at the end of the week. Amid sell-offs and buy-interests, at the end of the trading week, FBNH share price stood at N11.40.
FBNH Plc’s third-quarter 2021 result showed that Interest Income dropped by 12.63% Y-o-Y to N260.12 billion, from N297.71 billion recorded in the same period of 2020. Similarly, Net interest income declined by 15.45% Y-o-Y to N162.96 billion, against N192.74 billion recorded in the corresponding period of last year. Profit After Tax declined significantly by 40.15% Y-o-Y to N40.79 billion during the period under review.
United Bank for Africa Plc remained unchanged as its market capitalization closed the week at N292.41 billion, with its share price standing at N8.55.
UBA Plc released its Q3 2021 financials, revealing that net interest income appreciated by 23.25% to N229.27 billion from N186.02 billion, while total assets grew to N8.35 trillion from N7.7 trillion. In addition, the company’s profit after tax rose by 35.61% to N104.60 billion, up from N77.13 billion in the same period of 2020.
GT Holding Company Plc
GTCO Plc depreciated by N38.26 billion after its market capitalization fell to N771.10 billion from N809.36 billion at the end of the week’s trading session.
The decline can be attributed to the decrease in its share price, from N27.50 traded at the end of last week, to N26.20 as at close of business, reflecting a decrease of 4.73%.
In Q3 2021, the Group reported a decline of 7.48% in interest income from N74.52 billion recorded in the corresponding period of September 2020 to N68.94 billion in the current period. However, post-tax profit appreciated by 4.11% from N48.01 billion in 2020, to N49.99 in the current period.
Access Bank Plc
Access Bank Plc’s share price appreciated by 1.47% to close the week at N10.35, and the market capitalization stood at N367.89 billion.
Access Bank Plc released its Q3 2021 financial result which revealed a decline in Net interest income by 3.43% to N67.66 billion, while profit after tax dropped by 9.11%, from N38.46 billion in September 2020 to N34.95 billion in September 2021.
Zenith Bank Plc
Zenith Bank Plc gained N14.13 billion w-o-w after its market capitalization appreciated to N841.43 billion from N827.30 billion at the end of the week. This appreciation can be attributed to the 1.71% growth in its share price, from N26.35 traded at the end of last week, to N26.80 at the end of this week.
The bank’s nine-month financial result for the period ended September revealed that Interest income for the period declined by 3.13% to N308.84 billion from N318.82 billion in the corresponding period of 2020. However, post-tax profit for the period reported a marginal growth of 0.80% from N159.32 billion in 2020 to N160.59 billion in the current period.
What you should know
- The Nigerian Exchange Limited (NGX) closed negative week-on-week as ASI depreciated by 0.13% to close at 47,140.48.
- The FUGAZ banks make up over 70% of the NSE Banking sector index, hence, strongly influencing the growth or otherwise of the index; hence, the NGX banking grew by 1.58% from 443.10 to close at 450.09 points.