WEMA BANK : QUARTER 3 - FINANCIAL STATEMENT FOR 2022

WEMA BANK PLC

UNAUDITED FINANCIAL STATEMENTS

FOR THE PERIOD ENDED 30 SEPTEMBER 2022

Contents

Page

Statements of profit or loss and other comprehensive income	1
Statements of financial position	2
Statements of changes in equity	3
Statement of Prudential Adjustments	5
Statement of cash flows	6

Wema Bank Plc

Consolidated and Separate Financial Statements

For the period ended 30 September, 2022

Statement of Profit or loss and other Comprehensive Income
			Group		Bank
In thousands of Nigerian Naira		3 Months	9 Months	9 Months	3 Months	9 Months	9 Months
	Notes 30-Sep-22	30-Sep-22	30-Sep-21	30-Sep-22	30-Sep-22	30-Sep-21
Gross Earnings		35,059,302	95,354,463	63,077,135	34,264,869	93,859,059	61,571,334
Interest income	7	29,523,843	79,973,886	51,550,286	28,729,410	78,478,482	50,044,486
Interest expense		(14,265,917)	(41,501,254)	(23,100,912)	(13,498,153)	(40,008,047)	(21,587,853)
Net interest income	7	15,257,926	38,472,632	28,449,374	15,231,257	38,470,435	28,456,633
Net impairment loss on financial assets	11	(1,501,306)	(2,126,362)	(811,162)	(1,501,306)	(2,126,362)	(811,162)
Net interest income after
impairment charge for credit losses		13,756,620	36,346,270	27,638,212	13,729,951	36,344,073	27,645,470
Net gain on FVTPL investment securities		-	1,462,883	13,262	-	1,462,883	13,262
Net fee and commission income	8	4,538,103	12,015,428	8,722,511	4,538,103	12,015,428	8,722,511
Net trading income	9	178,387	(112,588)	1,163,240	178,387	(112,588)	1,163,240
Other income	10	818,970	2,014,855	1,627,836	818,970	2,014,855	1,627,836
		5,535,459	15,380,577	11,526,849	5,535,459	15,380,577	11,526,849
Operating income		19,292,079	51,726,847	39,165,060	19,265,410	51,724,650	39,172,319
Personnel expenses	12	(5,772,551)	(15,317,886)	(12,381,847)	(5,772,551)	(15,317,886)	(12,381,847)
Depreciation and amortization	13b	(1,263,027)	(3,256,528)	(2,486,100)	(1,263,027)	(3,256,528)	(2,486,100)
Other operating expenses	13a	(8,902,393)	(23,694,953)	(17,088,199)	(8,896,049)	(23,686,109)	(17,090,615)
Profit before tax		3,354,107	9,457,481	7,208,915	3,333,782	9,464,128	7,213,757
Income tax expense	26	(450,060)	(1,277,657)	(973,857)	(450,060)	(1,277,657)	(973,857)
					-
Profit for the year		2,904,047	8,179,824	6,235,058	2,883,722	8,186,471	6,239,900
Other comprehensive income, net of income tax Items that
will not be subsequently reclassified to profit or loss
Net change in fair value of investments FVTOCI		-	-	-	-	-	-
		-	-	-	-	-	-

Items that will be subsequently reclassified to profit or loss

Net change in fair value of investments FVOCI Income tax relating to items that may be reclassified subsequently to profit or Loss

Other comprehensive income for the year

Total comprehensive income for the year

Profit attributable to:

-	-	(97,163)	-	-	(97,163)
-	-	-	-	-
-	-	(97,163)	-	-	(97,163)
2,904,047	8,179,824	6,137,894	2,883,722	8,186,471	6,142,737

Equity holders of the Bank		2,904,047	8,179,824	6,235,058	2,883,722	8,186,471	6,239,900
Total comprehensive income for the year		2,904,047	8,179,824	6,137,894	2,883,722	8,186,471	6,142,737
Earnings per share-basic	14	87.6	169.6	21.6	87.3	169.7	21.6

Wema Bank Plc
Consolidated and Separate Financial Statements
For the period ended 30 September, 2022
Statement of financial Position
		Group	Bank
	Notes	30-Sep-22		31-Dec-21	30-Sep-22	31-Dec-21
In thousands of Nigerian Naira
Cash and cash equivalents	15	106,819,034	109,726,640	106,807,043			109,714,649
Restricted Deposit with CBN	15b	363,916,166	313,847,420	363,916,166			313,847,420
Pledged assets	16	36,426,544	83,723,119	36,426,544			83,723,119
Investment securities:
Fair value through other comprehensive income	17a	5,513,995	5,455,873	5,514,995			5,456,873
Fair Value through profit or loss	17b	28,273,080	38,693,696	28,273,080			38,693,696
Held at amortised cost	17c	266,825,066	129,931,955	262,158,798			118,970,687
Loans and advances to customers	18	461,919,314	418,864,303	461,919,314			418,864,303
Investment properties	19	-	0	-			0
Right of Use	29	905,629	851,249	905,629			851,249
Property and equipment	20	25,336,888	22,418,542	25,336,888			22,418,542
Intangible assets	21	3,072,087	2,170,640	3,072,087			2,170,640
Other assets	23	25,524,710	34,305,993	25,524,710			34,305,993
Deferred tax assets	22	15,500,694	15,500,694	15,500,694			15,500,694
Total Assets		1,340,033,208	1,175,490,124	1,335,355,949			1,164,517,865
Deposits from banks	24	19,853,085	40,700,000	19,853,085			40,700,000
Deposits from customers	25	1,079,576,129	927,471,175	1,079,576,129			927,471,175
Lease Liabilities	29	30,335	26,879	30,335			26,879
Current tax liabilities	26	1,325,113	716,120	1,325,113			716,120
Other liabilities	27	99,105,443	63,697,672	99,038,902			63,637,779
Other borrowed funds	28	64,902,620	72,731,661	60,067,528			61,601,569
Total Liabilities		1,264,792,724	1,105,343,507	1,259,891,091			1,094,153,521
EQUITY
Share capital	30	19,287,233	19,287,233	19,287,233			19,287,233
Share premium	30	8,698,230	8,698,230	8,698,230			8,698,230
Regulatory risk reserve		6,089,871	6,089,871	6,089,871			6,089,871
Retained earnings	30	16,117,767	11,023,900	16,342,141			11,241,627
Other reserves	30	25,047,383	25,047,383	25,047,383			25,047,383
EQUITY ATTRIBUTABLE TO		75,240,484	70,146,617	75,464,858			70,364,344
EQUITY HOLDERS OF THE BANK
TOTAL LIABILITIES AND EQUITY		1,340,033,208	1,175,490,124	1,335,355,949			1,164,517,865
CONTINGENTS		151,880,980	118,568,967	151,880,980			118,568,967

The financial statements were authorized for issue by the directors on the 26th of October 2022 and signed on its behalf by: …..

Babatunde Kasali

Chairman

FRC/2017/ICAN/00000016973

Tunde Mabawonku

Chief Financial Officer

FRC/2013/ICAN/00000002097

Ademola Adebise

Managing Director

FRC/2013/ICAN/00000002115

Wema Bank Plc
Consolidated and Separate Financial Statements
For the period ended 30 September, 2022
Statements of changes in equity
Group
In thousands of Nigerian naira (000s)
		Share	Share	Credit	Regulatory	Statutory	SMEIES	Fair value	Retained	Total
		Capital	premium	risk reserve	risk reserve	reserve	reserve	reserves	earnings	equity
2022
Balance at 1 January 2022	19,287,233	8,698,230	781,612	6,089,871	17,654,943	902,759	5,708,069	11,023,900	70,146,617
Dividend Payout								(3,085,957)	(3,085,957)
SMEIS Charge						-		-	-
Profit or loss	-	-	-	-	-	-		8,179,824	8,179,824
Other comprehensive income
Cumulative gain/loss reclassified from reserve on disposal of FVTOCI investments							-
Fair value reserve FVTOCI financial assets	-	-	-	-	-	-	-	-	-
		19,287,233	8,698,230	781,612	6,089,871	17,654,943	902,759	5,708,069	16,117,767	75,240,484
Transactions with owners, recorded directly in equity
Contributions by and distributions to owners
Regulatory risk reserve	-	-		-	-	-	-	-	-
Credit risk reserve			-					-
Transfer to Statutory reserve	-	-		-	-	-	-	-	-
Total contribution and distributions to owners	-	-	-	-	-	-	-	-	-
Balance as at 30 September 2022	19,287,233	8,698,230	781,612	6,089,871	17,654,943	902,759	5,708,069	16,117,767	75,240,484
2021
Balance at 1 January 2021	19,287,233	8,698,230	781,612	5,536,119	14,974,982	673,148	2,086,782	7,103,647	59,141,753
Dividend Payout								(1,542,978)	(1,542,978)
SMEIS Charge						229,611		(229,611)	0
Profit or loss		-	-	-	-	-	-		8,926,555	8,926,555
Other comprehensive income
Cumulative gain/loss reclassified from reserve on disposal of FVTOCI investments							-
Fair value reserve FVTOCI financial assets	-	-	-	-	-	-	3,621,287	-	3,621,287
		19,287,233	8,698,230	781,612	5,536,119	14,974,982	902,759	5,708,069	14,257,613	70,146,617
Transactions with owners, recorded directly in equity
Contributions by and distributions to owners
Regulatory risk reserve	-	-		553,752	-	-	-	(553,752)	-
Credit risk reserve			-					-
Transfer to Statutory reserve		-	-		-	2,679,961	-	-	(2,679,961)	-
Total contribution and distributions to owners	-	-	-	553,752	2,679,961	-	-	(3,233,713)	-
Balance as at 31 December 2021
	19,287,233	8,698,230	781,612	6,089,871	17,654,943	902,759	5,708,069	11,023,900	70,146,617