Fidelity Bank shareholders left empty-handed, as liabilities rise 14.2%, hit N2.83tn

Fidelity Bank shareholders will go without dividend in the First-Half of 2021 despite the financial institution reporting revenue growth during the same period.

In its financial statements for the period ended June 30, 2021, signed by Nneka Onyeali-Ikpe, Managing Director/Chief Executive Officer, it was stated that, “No dividend is prosposed by the Board of Directors for the Period ended 30 June, 2021.”

The decision to hold back on compensating shareholders for their investment in Fidelity follows a rise in revenue generation which hit N112.30 billion in H1 2021.

This is a 6.2 percent increase in revenue when compared to the N105.75 billion generated during the corresponding period of 2020, which is the COVID-19 lockdown period.

Read also: Fidelity Bank investors lose N289.74m as CBN probe triggers sell off

Fidelity Bank reported that its net interest income grew by more than 4 percent to hit N50.29 billion by first-half of this year, against the N48.32 billion recorded the same period in 2020.

Profit before tax ended the period under review at N20.62 billion, higher than the N11.96 billion Fidelity Bank stated in H1 last year.

The bank’s profit after tax followed the same path, handing Fidelity N19.30 billion in the period ended June 30, 2021, in contrast to the N11.30 billion gained in H1 2020.

Fidelity Bank’s liabilities grew by 14.2 percent during the period under review, rising to N2.83 trillion, surpassing the N2.48 trillion reported as liabilities in 2020.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now