NOVA Records N1.65bn Profit

Nova Merchant Bank Limited has released its audited 2019 full year financial results which showed that its profit after tax increased by 44 per cent, to N1.65 billion, compared to the N1.15 billion recorded the previous year.

According to the results made available to THISDAY yesterday, the bank’s profit before tax also grew by 56 per cent, to N1.5 billion in the year under review, up from the N0.96bn realised the previous year.

Its gross earnings also jumped by 113 per cent, to N5.87 billion in 2019, as against the N2.76 billion recorded in 2018, just as its operating expense was N1.95 billion in 2019, compared to N1.42 billion in 2018.

Nova Merchant Bank’s cost-to-income ratio was also at 55 per cent.

While its total assets increased by 155 per cent to N63.8 billion in 2019, compared to N25 billion in 2018; loans to customers also increased significantly by 1121 per cent, to N29.3 billion in 2019, compared to N2.4 billion in 2018.

In the same vein, customer deposits grew by 533 per cent, to N40.5 billion in 2019, compared to N6.4 billion in 2018.

Commenting on the financial performance, the Managing Director, Nova Merchant Bank, Mr. Anya Duroha stated: “Our full year 2019 performance resonates our resilience and commitment to excel and succeed despite being a fairly new Merchant Bank and macroeconomic headwinds that persisted in 2019.

“Going into 2020 we will continue our resolve to be the best merchant bank in Nigeria as we will leverage our track record of trust, to deliver on operational efficiency through digital innovation while proffering customer centric solutions to our existing and new customers.”

In the same vein, speaking on the results, the Chairman, Mr Phillips Oduoza, said: “I am particularly delighted that the key ratios are trending in the right direction, we are beginning to see the results of our distinct and impactful business model as exhibited in the strong figures across all key indices. A notable reference that we recorded zero per cent non-performing loans in 2019.

“We are well equipped with the leading technology, structure and staff to leverage all opportunities the market presents to us while operating at the highest level of governance.

“The year 2020 we believe our business will grow exponentially with the commencement of our capital market subsidiaries, deployment of innovative products to our customers leveraging our investments in digital channels, whilst reinforcing risk management and compliance.”