Afribank Posts N2bn Profit

Afribank Nigeria Plc recorded a profit before tax of N2 billion for the first quarter, which ended in March, according to a statement issued by the bank in Lagos on Friday.

The statement said the profit was made from N25 billion gross earnings.

According to reports, the bank posted a loss of N39 billion in the corresponding period of 2009.

The statement quoted Mr Nebolisa Arah, the bank’s Group Managing Director, as saying that with the positive returns there were strong prospects of better dividends in the financial year.

According to the release, the bank is succeeding in its turnaround programmes initiated last year because of its numerous initiatives and God’s providence.

It said that the bank had within the period improved its performance indices with a liquidity ratio now in excess of 28 per cent and a loan/deposit ratio of less than 60 per cent.

“The institutionalisation of sound corporate governance structures and Enterprise Risk Management (ERM) has placed the bank on the path of sustainable growth,” the release stated.

The management also disclosed that the implementation of its two-year strategic plan aided the bank’s market acceptance, penetration and increase in its market niche and customer share of wallet.

It said the turnaround plan focused on market, intelligence, good relationship management, group integration, resource optimisation, people, value chain marketing and technology leverage.

“Our overall aim is to achieve excellence in all aspects and maintain an enhanced liquidity position,’’ Arah explained.