Abbey Mortgage Bank Plc has reported a pre-tax profit of N1.2 billion for the year ended December 31, 2024, in its recently published audited financial statement.
This indicates a 29.18% increase compared to the N951.3 million reported the previous year, fueled by a rise in interest income.
The bank’s interest income reached N11.9 billion, up 65.96% from N7.2 billion the year before.
Of the total interest income, cash and short-term funds accounted for the largest share, followed by loans and advances, and investment securities at amortized cost.
Furthermore, the bank’s total assets increased to a robust N84.2 billion, up from N57.5 billion the previous year. A significant portion of these assets, N53.6 billion, came from securities at amortized cost.
2024 vs 2023 highlights
- Interest income: N11.9 billion, +65.96% YoY
- Interest expense: N8.5 billion, +84.86% YoY
- Net interest income: N3.3 billion, +31.96% YoY
- Fees and commission income: N207.6 million, -47.44% YoY
- Other income: N272 million, +25.03% YoY
- Net impairment charge: N84.2 million, -177.62% YoY
- Total operating income: N3.8 billion, +21.64% YoY
- Personnel expenses: N955 million, +23.29% YoY
- Other operating expenses: N2.5 billion, -1.11% YoY
- Pre-tax profit: N1.2 billion, +29.18% YoY
- Post-tax profit: N1 billion, +22.60% YoY
- Total assets: N84.2 billion, +46.42% YoY
- Retained earnings: N1.1 billion, +80.87% YoY
Cursory analysis
Abbey Mortgage Bank Plc reported a substantial increase in interest income for the year ended December 31, 2024, rising by 65.96% year-over-year to N11.9 billion, compared to N7.2 billion in the previous year.
- The majority of this income came from cash and short-term funds, which contributed N7.3 billion.
- Loans and advances accounted for N2.5 billion, while investment securities at amortized cost contributed N1.9 billion.
However, interest expenses also rose sharply to N8.5 billion, with customer-related costs forming a significant portion of this total.
- Despite this, the bank’s net interest income increased to N3.3 billion, up from N2.5 billion the prior year.
Fees and commission income declined to N207.6 million from N395 million in the previous year, with advisory fees making up the largest share at N156 million and mortgage fees at N51.6 million.
More favorably, other income grew by 25.03% year-over-year, reaching N272 million, compared to N217.5 million reported the previous year.
- Abbey Mortgage’s net impairment charge on financial assets at amortized cost stood at a negative N84.2 million, down from N108.4 million the previous year.
Ultimately, the bank’s pre-tax profit increased by 29.18% to N1.2 billion, compared to N951.3 million in 2023, while post-tax profits rose by 22.60% to N1 billion.
Balance sheet analysis
Abbey Mortgage Bank’s total assets reached N84.2 billion, up from N57.5 billion reported the previous year.
- Among the contributors to total assets for 2024, financial investments in securities at amortized cost constituted a significant portion at N53.6 billion, with fixed deposit placements ranking at the top of the list.
- Total equity stood at N9.2 billion, up from N8.5 billion, with share capital making up the majority of shareholder equity at N5 billion.
Retained earnings surged to N1.1 billion from N623.5 million reported the previous year, while statutory reserves increased to N686.3 million, up from N472.6 million.
