Fidelity Bank Delivers Record-Breaking Performance with N385.2 Billion Pre-Tax Profit in 2024
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Fidelity Bank Plc has posted an exceptional financial performance for the 2024 fiscal year, reporting a pre-tax profit of N385.215 billion, reflecting a staggering 210.01% year-on-year (YoY) growth. Despite a windfall tax obligation of N13.333 billion, the bank’s post-tax earnings surged by 179.63% to reach N278.106 billion, underscoring its impressive profitability.
The bank’s audited financial results highlight an 87.72% increase in gross earnings, climbing to N1.043 trillion. A significant portion of this revenue—approximately 97%—was driven by core operational activities, demonstrating the bank’s strong fundamentals.
Strategic Expansion and Interest Income Growth
Fidelity Bank’s financial strength was bolstered by a robust interest income stream, which accounted for 91% of total revenue. The bank generated N950.588 billion in interest income, marking a 106.85% YoY increase, primarily fueled by:
- Interest earnings from customer loans and advances (66% contribution)
- Interest from securities investments (17.19% contribution)
While loan growth remained steady at N4.387 trillion, investment in securities saw a significant expansion, increasing by N733.544 billion to N1.55 trillion, reflecting a diversified approach to revenue generation.
Robust Deposits and Strengthened Liquidity
Fidelity Bank’s customer deposits surged by 47.88% to N5.937 trillion, reinforcing its position as a trusted financial institution. The bank also raised N352.567 billion in debt and successfully attracted N1.922 trillion in new deposits, further strengthening its liquidity profile.
Credit Risk Management and Asset Quality
Although the bank recorded a total credit loss expense of N56.441 billion—primarily from loans and advances—prudent risk management ensured that net interest income remained solid at N629.770 billion (+127.05% YoY). Despite challenges in the lending environment, Fidelity Bank continued to maintain a healthy balance sheet while focusing on high-margin revenue streams.
Enhancing Revenue Streams Through Digital Innovation
Fidelity Bank’s non-interest income benefited from a surge in transaction-related fees. The bank’s commission and fees income increased by 57.97% to N78.355 billion, driven by earnings from:
- Letters of credit commission and fees (N9.47 billion)
- ATM charges (N6.4 billion)
- Foreign bill transactions (N6.9 billion)
Additionally, the bank introduced ‘Fidelity Send,’ a cutting-edge real-time payment solution powered by Mastercard, designed to facilitate seamless domestic and international transactions.
Shareholder Value and Capital Growth
Fidelity Bank’s shareholders’ funds soared by 105.32% to N897.874 billion, supported by a significant rise in share capital and premium accounts (+133.58% to N305.555 billion). The bank remains on track to meet the Central Bank of Nigeria’s (CBN) new capital requirement of N500 billion. Following the successful completion of its public offer and rights issue on February 7, 2025, Fidelity is positioned for further capital market activity.
Dividend Boost for Shareholders
The bank has proposed a final dividend of N1.25 per share (up from N0.85 in 2023), bringing total dividends for 2024 to N2.10 per share. The final dividend is scheduled for payment on April 29, 2025, rewarding investors for the bank’s stellar financial performance.
With its strong earnings momentum, expansion into digital banking, and a well-capitalized balance sheet, Fidelity Bank continues to reinforce its position as a leading force in Nigeria’s financial sector.
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