FBN Holdings Plc H1 2018 Conference Call and Earnings Presentation - The Key Takeaways

Proshare

Monday, July 30, 2018 06:35 PM / Proshare Markets

FBN Holdings Plc held its H1 2018 Investors and Analyst Conference Call Earnings Presentation. Proshare NG participated along with leading market analysts and professionals.

FBN Holdings Plc recorded a gross earnings of N293.3bn in H1 2018 as against N288.8bn in H1 2017, up by 1.6% YoY. This was driven by 21.4% YoY growth in non-interest income as interest income dipped by 3% YoY on the back of declining yields in investment securities and constrained loan growth. The HoldCo’s  Profit After Tax increased by 13.6%  YoY from N29.5bn in H1 2017 to N33.5bn in H1 2018.

Its gross loan and advances declined by 3% due to moderated risk asset creation and paydown on existing facilities while it reviewed its net loan growth FY guidance to 5-7% from 7-10% as it achieved -7.1% net loan growth in H1 2018 from -4% net loan growth achieved in FY 2017.

At the close of trading today, the share price of FBN Holdings Plc moved up by a tick size of 0.50% to close at N10.05k from N10.00k previous close price.

Proshare Nigeria Pvt. Ltd.

In a nutshell, below are the key takeaways from the H1 2018 earnings presentation made by the hold Co’s management;

1.      The operating environment in H1 2018 was particularly challenging for the hold Co’s merchant banking business, as it was characterized by lower yields in the fixed income market, a limited number of investment banking deals being completed and a highly competitive lending market.

2.      It revised its FY 2018 guidance on net loan growth downwards while other metrics remained unchanged for the full year 2018.

3.      About 98% of the Group loans and advances is accounted for by the Commercial Banking business, while the balance of 2% is from the Merchant Banking and Asset Management business.

4.      The ongoing digital banking initiatives seem to be yielding positive results as non-interest income was up by 15% YoY, excluding FX revaluation gain.

5.      The operating expense of the hold Co’s Insurance group grew by 17.4% YoY on the back of new staff headcount.



Related News

1.       FBNH Declares N13.5bn PAT in Q2 2018 Results,(SP:N10.00k)

2.      FBN Holdings Plc FY 2017 and Q1 2018 Conference Call and Earnings Presentation - The Key Takeaways

3.      FBNH Declares N14.8bn PAT in Q1 2018 Results, (SP:N12.45k)

4.      FBN Holdings PLC: Weaker Q4 Drives FY’17 Earnings Miss; BUY with TP Of N15:88

5.      Fitch Upgrades First Bank of Nigeria's Subordinated Notes to 'CCC Plus'

6.      FBNH Declares N40.01bn Profit in 2017 Audited Results; Proposes 25k Dividend,(SP:N13.40k)

7.      FBNHoldings Appoints Ariyibi to FBNQuest Capital, Borodo to FBNQuest Trustees Boards

8.     FBN Holdings Plc - Regaining its Mojo; Upgrade to Strong BUY

9.      Fitch Affirms FBN Holdings Plc and First Bank of Nigeria at ''B-''; Outlook Negative

10.  FIDELITYBK, FBNH Top Banking Stocks; Records over 300% Price Return in One Year

11.   UBN, DIAMONDBNK, FBNH Record Positive WTD Gain – Dec 15, 2017

12.  Positive Sentiment Sustained on FirstBank as Share Price Hits N9.02k – Dec 08, 2017

13.  Again, FirstBank Share Price Moves Up by 6.12% Today; Hits N9.01k – Dec 07, 2017

14.  Analysts Confidence in FirstBank Share Price Justified; Records 153.43% YTD Appreciation – Dec 07, 2017

15.   FBN Holdings Plc Q3 2017 Conference Call and Earnings ... - Proshare Oct 27, 2017

16.  Analysing the H1 2017 Performance of FBNHoldings Plc - A Comprehensive Report Oct 20, 2017

17.   FBNHoldings Plc Q1’ 2017 Performance Assessment Report Updated Sep 25, 2017

18.  FBN Holdings Plc: What The Fundamentals Say - Proshare Aug 11, 2017

19.  Analysing the Performance of FBN Holdings Plc - A Comprehensive Report Aug 09, 2017

20. FBN Holdings Plc: An Attractive Bait?

21.  FBN Holdings Plc: Searching Through the Lines

22. FBNH Declares N45.84bn Profit in Q3''17 Results,(SP:N6.15k)

23. Is FBNH a good buy?

 

READ MORE:
Related News
SCROLL TO TOP