The market capitalization of the top five banks, referred to as the Tier-1 banks or FUGAZ, depreciated by 3.05% to close at N2.16 trillion as at 9th of September, 2022, as investors in these banks lost a total of N50.82 billion during the trading week.
After 5 trading days of the week, 4 of the 5 tier-1 Nigerian banks suffered negative market sentiments, with ACCESS Bank leading the losers while GTCO remain unchanged and no bank enjoyed positive sentiment.
According to data from the Nigerian Exchange (NGX), the market capitalization of the top five banks dipped to N2.09 trillion to depreciate by 3.05% during the week.
A summary of the performance of each bank is captured below.
FBNH PLC
- FBNH’s share price declined by 5.66% to close the week at N10.00, with its market capitalization at N358.95 billion at the end of the week. Amid sell-offs and buy-interests, at the end of the trading week.
- FBNH Plc’s Q1 2022 result showed that Interest Income grew by 39.67% Y-o-Y to N109.45 billion, from N78.36 billion recorded in the same period of 2021. Similarly, Profit after tax grew significantly by 107.63% Y-o-Y to N32.44 billion during the period under review.
UBA PLC
- United Bank for Africa Plc depreciated by 5.96% as its market capitalization closed the week at N242.82 billion to lose a total of N15.39 billion w-o-w, with its share price standing at N7.10.
- UBA Plc released its H1 2022 financials, revealing that net interest income appreciated by 19.85% to N177.46 billion from N146.07 billion, while total assets grew to N9.00 trillion from N8.54 trillion in H1 2021.
- In addition, the company’s profit after tax rose by 16.00% to N70.33 billion, up from N60.58 billion in the same period of 2021.
GT Holding Company Plc
- GTCO Plc share price remained unchanged as market capitalization stood at N579.79 billion at the end of the week’s trading session.
- The H1 2022 financial result revealed that the Group reported a growth of 14.64% in net interest income from N102.34 billion recorded in the corresponding period of 2021 to N117.33 billion in the current period. However, post-tax profit depreciated by 2.34% to N77.56 billion in the current period.
Access Bank Plc
- Access Bank Plc’s share price depreciated by 6.21% to close the week at N8.30, and the market capitalization lost N19.55 billion to stand at N395.03 billion.
- Access Bank Plc released its H1 2022 financial result, which revealed a profit of N97.79 billion in H1 2021, reflecting a slight increase from N97.38 billion.
- The statement revealed that Net interest income declined by 1.27% from N200.02 billion to N197.50 billion in the current period.
Zenith Bank Plc
- Zenith Bank Plc lost N9.41 billion w-o-w after its market capitalization declined to N620.08 billion from N629.50 billion at the end of the week. This depreciation can be attributed to the 1.50% decline in its share price, from N20.05 traded at the end of last week, to N19.75 at the end of this week.
- The bank’s H1 2022 financial result for the period ended March revealed that Net Interest income for the period grew by 184.74% to N184.74 billion from N159.94 billion in the corresponding period of 2021. However, post-tax profit for the period reported a growth of 4.75% from N106.12 billion in 2021 to N111.41 billion in the current period.
What you should know
- The Nigerian Exchange Limited (NGX) closed negative week-on-week as ASI depreciated by 0.70% to close at 49,695.12.
- The FUGAZ banks make up over 70% of the NSE Banking sector index, hence, strongly influencing the growth or otherwise of the index; however, the NGX banking index grew by 0.87% from 389.22 last week to close at 386.88 points.