For Sterling Bank Plc has, the first quarter of 2014 could not have been better. Details of the results presented to the Nigerian Stock Exchange, NSE, as at March 31, 2014, indicated growth in gross earnings from N19.84 billions in the first quarter of 2013 to N24.6 in the corresponding period of 2014. Profit before tax, PBT, rose from N3.02 billion to N3.54 billion, while profit after tax, PAT, increased from N2.72 billion to N3.14 billion.

Yemi Adeola, managing director of the bank, disclosed that the first quarter was a positive start for the bank and a reflection of the bank’s improving efficiency and robust credit risk management. According to him, in spite of a marginal decline in deposit to N540 billion, the bank recorded a 30 basis points reduction in cost of funds to 5.6 per cent; reflecting management’s focus on balance sheet efficiency. He noted that loans and advances grew to N337 billion, while asset quality remained strong with a non-performing loan ratio of 1.8 per cent. “Over the next few quarters, we will continue the upgrade of our physical infrastructure and rollout of conventional and alternative channels in order to deepen market penetration of our products and grow retail deposit market share. Loan growth will remain steady and disciplined with the overall target for the year set at 25 per cent,” Adeola said.