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Stanbic IBTC Holdings has posted its highest-ever quarterly pre-tax profits, amounting to N84.2 billion for the second quarter of 2024. This milestone marks a significant achievement for the financial institution, driven by strong growth in its core revenue streams.
The bank’s half-year pre-tax profit has surged to N147 billion, a substantial increase compared to the N82.9 billion recorded during the same period in 2023. With this trajectory, Stanbic IBTC is on track to surpass N200 billion in pre-tax profits by the end of 2024.
A key factor behind the impressive performance is the sharp rise in interest income from both loans to customers and investments. Interest on loans and advances to customers nearly doubled, jumping from N91.1 billion in June 2023 to N183.1 billion in June 2024. Additionally, interest earned from investments surged from N16.7 billion to N56.1 billion, as the bank capitalized on a favorable high-interest rate environment.
Stanbic IBTC also recorded a significant boost in income from commissions and fees, which rose to N82.9 billion in the first half of the year, up from N51.1 billion in the previous year. This includes N47.2 billion generated from asset management fees and N11.7 billion from brokerage and financial advisory services, underscoring the bank’s robust performance across multiple business segments.
However, income from “fixed income and currencies” declined slightly, with the bank reporting N39.6 billion compared to N44.7 billion a year earlier.
As a result of its strong financial results, Stanbic IBTC’s share price rose by 3.6%, closing at N58.95 per share during mid-day trading. The bank also declared an interim dividend of N2 per share, rewarding shareholders for their continued investment.
Stanbic IBTC’s remarkable performance reflects its strategic focus on expanding its income streams, leveraging higher interest rates, and enhancing its fee-based services, positioning the company for sustained growth throughout 2024.
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