Access Holdings Plc, a prominent African financial institution, has reported significant financial growth in its unaudited results for the third quarter ending September 30, 2024. The group’s financial performance underscores its robust expansion, as it strives to generate sustainable returns for shareholders.
For the nine-month period, Access Holdings reported a gross revenue increase of 114.5% year-on-year, climbing from ₦1.6 trillion in 2023 to ₦3.4 trillion in 2024. Interest income, a major component of this growth, contributed ₦2.4 trillion (70% of gross revenue), while non-interest income reached ₦1.0 trillion, an 87.2% increase largely driven by growth in digital transactions. The group’s profit before tax rose by 89.6% to ₦558.2 billion, while profit after tax was up 82.8% at ₦457.7 billion, translating to an annualized return on equity of 22.2% and earnings per share of ₦12.40.
Access Holdings’ total assets surged to ₦41.1 trillion, marking a 54.0% year-to-date increase. Shareholders’ equity also rose by 51.0% to ₦3.3 trillion. Customer deposits grew 45.4%, increasing from ₦15.3 trillion in December 2023 to ₦22.3 trillion in Q3 2024, while gross loans and advances rose 56.2% to reach ₦13.9 trillion.
The group’s strong performance was attributed to contributions from both its banking and non-banking subsidiaries. Access Bank, the banking arm, saw substantial gains with contributions from both interest and non-interest income. The bank’s subsidiaries in the UK and across Africa contributed 54.8% to the Banking Group’s profit before tax, showing a 185.8% year-on-year increase.
Access Holdings’ non-banking subsidiaries also delivered notable results. Access ARM Pensions, after a merger with ARM Pensions, now oversees ₦3.1 trillion in assets under management. Hydrogen Payments, the group’s payment subsidiary, processed ₦27.5 trillion in transactions, recording a 516% increase in operating profit at ₦5.7 billion. Access Insurance Brokers, in its debut year, posted a gross written premium of ₦8.3 billion and a profit before tax of ₦641 million, while Oxygen X Finance, the group’s digital lending unit, reported ₦2.1 billion in operating income and a profit before tax of ₦412 million.
Looking ahead, Access Holdings is focused on increasing profitability and sustainability, incorporating environmental, social, and governance (ESG) principles into its strategy. The group’s five-year plan emphasizes diverse revenue streams across markets, as it continues to prioritize community impact and employee development, fostering a culture of innovation.