Stanbic IBTC Holdings Plc has recorded an improvement in earnings in the first six months of the year as the lender benefited from higher interest income and fee revenue.
The mid-sized lender continues to reward shareholders who have invested their money in it with dividend income.
For the six months period to June 2025, Stanbic IBTC profit after tax (PAT) spiked by 49.05 percent to N173.43 billion from N116.35 billion as at June 2024.
Net interest income (NII) — or the difference between what the bank earns on interest and pays out for deposits — also rose 81.31 percent to N316.01 billion as at June 2025.
Fees and commission income rose 37.72 percent to N114.30 billion even amid competition from financial technology companies who are using the latest applications to make banking easy for the young generation.
There was a reduction in interest expense, which also added strength to earnings.
Stanbic IBTC investment in government securities when yields were high has yielded fruit as income from investment securities surged by 133.88 percent to N131.28 billion as at June 2025.
The Nigeria 10-year government bond currently offers a yield of 16.63 percent, according to data from World Government Bond.
The 10-year bond yield reflects the return investors can expect if they hold the bond until maturity. Government bond yields are critical indicators of economic confidence and investor sentiment.
Nigeria Central Bank Rate stands at 27.50 percent, following the most recent adjustment in November 2024.
The directors at Stanbic IBTC have said an interim dividend of N2.50 (Two Naira Fifty Kobo) per ordinary share of 50 kobo each, that is, N39.75 billion will be paid to shareholders.
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