Jaiz Bank grows Q1 profit by 176%

Jaiz Bank Plc recorded a well-rounded performance in the first quarter as Nigeria’s first non-interest commercial bank reported top-line growth of 24 per cent and profit increase of 176 per cent in its first report as a quoted company.

Key extracts of the interim report and accounts of Jaiz Bank for the period ended March 31, 2017 showed that gross income rose by 23.7 per cent to N1.62 billion in first quarter 2017 as against N1.31 billion recorded in comparable period of 2016. Total net income grew by 34.3 per cent from N1.08 billion in first quarter 2016 to N1.45 billion in first quarter 2017. Profits before and after tax rose by 175.8 per cent to N203.68 million in first quarter 2017 as against N73.84 million in first quarter 2016. There were no provisions for taxes as the bank is still under tax waiver as a pioneer.

The balance sheet size of the bank grew by 34.1 per cent as total assets rose to N78.7 billion in first quarter 2017 compared with N58.67 billion in corresponding period of 2016. Total equity funds also rose by 32.5 per cent from N11.25 billion in first quarter 2016 to N14.91 billion in first quarter 2017.

Jaiz Bank recorded another milestone on February 9, 2017 as the first non-interest financial institution to be listed on the Nigerian Stock Exchange (NSE) with the admission of the entire issued share capital of the bank to the main board of the Exchange.

Managing Director, Jaiz Bank Plc, Mr. Hassan Usman, said the secret for the above-peer growth rate of Jaiz Bank lies in the uniqueness of its business management approach.

“We have set out on a path of reinvention of the banking landscape in the country. This journey over the next few years will focus on changing how banks should operate to better improve the lots of the community, while delivering on their commitments to the shareholders. We are focused on building on our culture of ethics and taking the necessary decisions to align our perspective with client expectations,” Usman said in a broad outline of the people-centred approach of the bank.

He said Jaiz Bank, as Nigeria’s only fully-fledged Islamic bank, is committed to showing that the non-interest banking model can be implemented profitably in the country.

He pointed out that the projection for the bank for the next five years indicates a gross revenue of N16 billion by 2021and profit before tax of N7.9 billion.

Usman said Jaiz Bank has developed a bouquet of products and services that has increasingly endeared it to Nigerian businesses and depositors.

According to him, the bank had focused on building well-diversified investment portfolios across several sectors of the economy including general commerce, real estate and construction, agriculture, education, manufacturing, information and telecommunication and oil and gas among others.

Chat With UsInternet Banking