Infinity Microfinance Bank grows loan portfolio by 28%
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IMAGE: Infinity Microfinance Bank Limited »
Infinity Microfinance Bank Limited, Lagos, has grown its loan portfolio by 28 percent to N391.7 million at the end of the financial year-end December 31, 2013, from a total of N305.5 million in December 31, 2012.
The bank’s gross earning recorded 18 percent increase from N221,471,123 for the year ended December 31, 2012, compared with N262,209,447 for the year ended December 31, 2013. Likewise, the total assets grew by 22 percent from a sum of N484,935,078 for the years ended December 31, 2012, compared with N590,143,114 for the year ended December 2013.
On the profitability index, the bank’s profit before tax increased by 11.4 percent from N70,977,107 as of December 31, 2012, to N81,145,526 as of December 31, 2013, and the profit after tax increased by 11.5 percent from N66,813,941 as of December 31, 2012, to N76, 998,004 as of December 31, 2013. However, the shareholders at the eighth annual general meeting held in Lagos approved a dividend of 4 kobo per share for every 50 kobo share of Infinity Microfinance Bank as of December 31, 2013, and a bonus issue of 3 shares for every 2 shares held in the register of shareholders as of December 31, 2013.
Speaking at the meeting, Peter Asu, chairman of the bank, said during the financial year ended December 31, 2013, the bank continued to build on the solid foundations that had been laid in more than one decade of operating successfully in the microfinance banking sector.
“We have refined our policies and business practices to prepare ourselves for future growth and greater customers satisfaction to our growing customers in all our 11 outposts branches in Lagos State and new ones to be added in the near future. We have taken a critical look at our risk management procedures and ploughed our experience into building a formidable enterprise risk management that can sustain future growth and stability,” he said.
According to him, as a state microfinance bank, Infinity Microfinance Bank will continually seek to reach out to existing and new customers by giving its customers more options in satisfying their financial needs through its innovative and customer-centric products and services, which have grown to include variants of micro savings, micro credits, micro health, micro leasing and micro housing products and other allied services targeted at improving the lives of its customers.
Responding to challenges of microfinance banks, Clara Oloniniyi, managing director of the bank, said “the environment is still evolving and more people need to know what they can benefit from microfinance banking system. The confidence needs to improve and the microfinance banks itself need to increase their capacity to meet more customers and provide those services for them.”
There is need for increased awareness, increase capacity, she said, saying “overall, I will say it is getting better. It is much better than three, four years ago, when there were lots of distress in the system.”
Article Credit: Businessdayonline