Ecobank Reports 18% Rise in Pretax Profit on Revenue of $1.037bn for H1, 2023

Ecobank Transnational Incorporated Plc has reported that group profit before tax increased by 18% to $308 million in the first Half (H1) of 2023.

Group net revenues for the first half 2023 were $1.037 billion, increasing by 14% or 38% at constant currency.

Net revenues in the Consumer Banking business rose 13% to $253 million, primarily driven by deposit margins and payments.

In the Commercial Banking business, income from foreign currency (FC) sales and client-driven trade helped net revenues increase by 31% to $286 million.

Net revenues in the Corporate and Investment Banking business were $534 million, up 5% from the prior year, primarily driven by a significant rise in Foreign Currency sales, asset and liability management, and the trade business.

Jeremy Awori, CEO of Ecobank Group, said:

“Our results for the first six months of 2023 demonstrate the benefits of our diversified business model, resilient balance sheet and our commitment to serving our customers. Profit before tax increased by 18% to $308 million and by 67% if you exclude foreign currency translation effects. Net revenues were up 14% to $1,037 million, or 38% in constant currency, and we delivered a return on tangible equity of 27%. We achieved these results despite continued challenging macroeconomic conditions in the second quarter, with significant weaknesses in African currencies, high consumer prices and tepid economic growth.”

“We have made meaningful progress in formulating our strategic roadmap, which will provide the blueprint for our Growth, Transformation and Returns agenda. Over the last few months, as I engaged with our customers, colleague Ecobankers, and other stakeholders, my confidence in our growth opportunities has been reaffirmed. We see opportunities to build stronger and better customer relationships in our businesses, forge strategic partnerships and be the go-to Payments bank, leveraging our superior platforms.

In addition, we will take forward our transformation and growth agenda for our corporate, commercial and consumer banking businesses. Notably, achieving our goals will require even more discipline in execution, proactive risk management, and focus on delivering for our customers. Furthermore, the prudent management of our balance sheet and capital remains a priority. We will also continue investing in our best in-class technology, retaining and attracting talent while reinforcing the right culture,” Awori added.

“Finally, I am proud of Ecobank’s contributions across the African communities in which we operate, and equally proud of the good work Ecobankers do for our customers daily,” Awori concluded.