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Skye Bank Records N10.1 billion Profit in 9 Months

By Providence Obuh
Skye Bank Plc has  recorded a profit before tax of N10.1 billion for the third quarter ended September 30, 2010, an increase of 69 per cent  from the N5.9 billion recorded at the end of the second quarter June 30, 2010.

Specifically, the bank’s profit after tax grew by 69 per cent to N8.1 billion, from N4.8 billion during the same period. The result showed that total capital base of the bank rose to N98.4 billion in the review period from N88.0 billion during the corresponding period in the previous year, representing an increase of 12 per cent.

The bank claimed that in its unaudited accounts submitted  to the Nigeria Stock Exchange (NSE)  , a total assets for the review period stood at N611.5 billion in contrast to N661.6 billion recorded in the second quarter, and N622.1 billion reported at the end of 2009 financial year.

“Loans and advances also rose from N328.18 billion at the end of the 2009 financial year (i.e. December 2009) to N344.69 billion at the end of September 2010, indicating a marginal increase in lending owing to the well_known developments in the banking industry”.

According to a statement by the Group Managing Director (GMD) Mr. Durosinmi_Etti, he said as the Bank seeks to consolidate on its recent gains in the last quarter of the year, it would maintain focus on efficiency in all its spheres of operations both at the external customer_facing and back_office functions.
Durosinmi disclosed that the Bank has deployed relevant resources with a view to actualizing its aim at up_tiering its clientele to the corporate segment and the selected upper echelon of the commercial market, adding that going forward, in the medium_term to long_term, the structure of the asset_side Balance Sheet and earnings would reflect this new focus.

He said “the Bank also took the lead in actualizing the intention of the Central Bank of Nigeria (CBN) to the effect that banks should collaborate with a view to reducing common costs, when it initiated the process of promoting a company in conjunction with another bank and two other partner firms, toward complete centralization of back_office activities such as account opening, customer documentation, etc.”

According to the Bank, “notwithstanding the very challenging operating environment the Bank faced in the course of the period, its gross earnings grew by 43 per cent to N61.53 billion, from N43.0 billion at the end of second quarter 2010; and Profit Before Tax increased from N5.96 billion to N10.08 billion (69 per cent ) accordingly. This performance reflected our deliberate actions in the areas of earnings diversification and change of focus in the identified market segments in which the Bank now operates.”


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