Abbey Mortgage Bank Grow Gross Earnings by 142%

Nume Ekeghe

Abbey Mortgage Bank has announced a gross earnings of N3.68billion for the year ended on December 31, 2021, an increase of 142 per cent over N1.52billion recorded the previous year.

The Chairman Abbey Mortgage Bank, Mr. Emmanuel Kanu disclosed this at the 30th Annual General Meeting of the bank in Lagos.

Kanu noted that the bank ramped up its recovery effort and that the profit at the end of the year stood at N661million compared to -N4.2billion the previous year.

He said: “Two years ago, the Management of Abbey with the support of the board made some strategic decisions towards addressing legacy delinquent assets. I am extremely proud of the progress we made in the last twelve months and the outcome that continues to validate our strategic direction.”

“Gross Earnings grew by 142 per cent reflecting Management’s optimisation of expenses while achieving improved staff welfare, increase in manpower, and business expansion activities.

“We ramped up recovery effort which led to a net write-back off N180 million against a net credit loss of N3.8billion in 2020. while Pre-Tax Profit at the end of the year stood at N661million compared to -N4.2billion in 2020.

He added that their loans and advances grew by 28 percent to N6.2billion from N4.7billion in 2020 while customer deposits grew by 45.4 per cent to N21.2billion from N14.6billion in the previous year which was driven by growth in the institutional and wholesale business segments.

On his part, the Managing Director, Chief Executive Officer, Mr. Mobolaji Adewumi said:  “In what was termed as a year of recovery, our financial performance validated our strategic direction as we set new records on multiple parameters. In 2020, we had made deliberate efforts to resolve the industry-wide legacy issues of delinquent assets and its impact on profitability are highlighted in our current performance with Loans and Advances to customer growing by 28.7 percent from N4.7bn in 2020 to N6.2bn and a write back of N180m as against credit losses of N3.8bn in 2020.”