Access Holdings Plc, a leading financial services group, has announced a robust financial performance for the year ended December 31, 2024, demonstrating resilience and growth across key metrics. The group's audited financial statement, released on the Nigerian Exchange Limited, revealed a profit after tax of N642.2 billion, marking a four per cent increase compared to the N619.3 billion recorded in the previous year.
The financial results showcase a significant expansion in Access Holdings' operations, with gross earnings surging by an impressive 88 per cent to reach N4.88 trillion in 2024, a substantial leap from the N2.59 trillion reported in 2023. This growth in revenue underscores the group's ability to generate income from its diverse business segments.
Further highlighting the strong operational performance, Access Holdings reported a profit before tax of N867.0 billion for the period, representing a healthy 19 per cent increase from the N729.0 billion achieved in 2023. This was accomplished despite the group facing increased operating expenses and higher impairment charges, indicating effective cost management and revenue generation strategies.
However, the final profit after tax was somewhat moderated by a significant rise in income tax expenses. The group's tax obligations increased sharply from N109.7 billion in 2023 to N224.8 billion in 2024, reflecting the higher profitability and potentially changes in tax regulations or interpretations.
Despite the increased tax burden, Access Holdings demonstrated strong overall financial health, posting a total comprehensive income of N1.24 trillion for the year. This represents a solid 20 per cent increase from the N1.03 trillion recorded in the preceding year, indicating positive performance across all aspects of its business and investments.
Interestingly, the group's earnings per share experienced a slight dip, falling to 1,671 kobo per share in 2024 from 1,723 kobo in 2023. This modest decrease could be attributed to a slight dilution effect from an increase in the number of outstanding shares.
A closer look at the profitability breakdown reveals that the profit attributable to equity holders of the parent company saw a marginal increase to N618.6 billion in 2024, up from N612.5 billion in the previous year. Notably, the profit attributable to non-controlling interests witnessed a substantial surge to N23.6 billion from N6.8 billion, suggesting improved performance and profitability within the group's various subsidiaries and other entities.
The balance sheet of Access Holdings also reflected significant growth and strength. Total assets expanded by a remarkable 56 per cent to N41.5 trillion in 2024, compared to N26.7 trillion in 2023. This expansion was largely driven by a 47 per cent increase in loans and advances to customers, which stood at N11.5 trillion as of December 31, 2024, up from N8.0 trillion in 2023. This indicates a robust lending appetite and growth in its core banking business.
Furthermore, customer confidence in Access Holdings remained strong, as evidenced by a significant 47 per cent growth in customer deposits, reaching N22.5 trillion in 2024 compared to N15.3 trillion in 2023. This substantial increase in deposits provides a stable funding base for the group's operations and lending activities.
Despite the considerable expansion of its loan portfolio, Access Holdings maintained a healthy asset quality. The ratio of impaired loans to gross risk assets stood at 2.76 per cent, showing a slight improvement from the 2.78 per cent recorded in 2023. This demonstrates the group's commitment to disciplined risk management practices and its ability to effectively manage credit risk.
Access Holdings also reported positive developments in its capital and reserves. Total equity attributable to equity holders of the parent increased to N3.36 trillion from N2.08 trillion, further strengthening its financial position and providing a buffer against potential future economic uncertainties.
It is worth noting that Access Holdings Plc recently announced a delay in filing its complete audited results for the 2024 financial year. This delay was granted following approval from its primary regulator, the Central Bank of Nigeria, suggesting that the final comprehensive report will be released in due course.
Overall, the 2024 financial results for Access Holdings Plc paint a picture of a financial institution experiencing significant growth in both its top and bottom lines. The substantial increase in gross earnings, coupled with a rise in profitability and a strong expansion of its balance sheet, underscores the group's robust performance and strategic execution in a dynamic operating environment. While the increased tax expenses had a moderating effect on the final profit, the overall financial health and growth trajectory of Access Holdings appear positive, positioning it for continued growth in the Nigerian financial landscape.