The 2020 financial year of NSIA Banque Côte d´Ivoire, a member of the financial group of the same name, was not prosperous in terms of profitability with an after-tax profit which fell by 47.11% compared to the 2019 financial year.
According to the summary financial statements for this fiscal year, verified but not yet certified by the auditors, this profit stood at 7.11 billion FCFA against 13.617 billion FCFA in 2019, a decrease of 6.416 billion FCFA. According to the managers of this banking establishment, this result came “in a context combining management of the impact of COVID-19 on activity, takeover of the Ivorian branch of NSIA Banque Bénin, Diamond Bank Côte d’Ivoire and control mission regulatory authorities ”.
In addition, the sharp increase in the cost of risk had a negative impact on net income. In fact, during the period under review, the cost of risk for the bank stood at 16.058 billion FCFA against 4.728 billion FCFA as of December 31, 2019. According to the managers of the banking establishment, this increase is the result of the remediation work. portfolio which should provide solid fundamentals for the conduct of business from 2021 onwards. According to them, the allocations to provisions on the portfolio mainly relate to debts already classified in the category of doubtful and disputed debts devoting the efforts implemented since 2019 to ensure control of credit risk and maintain the quality of the portfolio. With regard to operational risk, a provision for accounting suspensions in the amount of CFAF 3.2 billion has been established pending the completion of the substantiation work.
Taking into account the cost of risk on gross operating income (recorded at 23.888 billion FCFA against 19.986 billion FCFA in 2019), reduced the operating result to 7.830 billion FCFA against 15.258 billion FCFA in 2019 (-48.68%). The addition of the net gains on fixed assets (999 million) on the operating result made it possible to generate a pre-tax result of 8.829 billion against 16.831 billion in 2019. On this result, taxes were levied on the profit of 1.628 billion. This results in a profit of 7,201 billion FCFA.
The bank’s total balance sheet increased by 29.84% to 1,549.535 billion FCFA against 1,193.793 billion in FCFA in 2019.
As of December 31, 2020, NSIA Banque Côte d’Ivoire had collected 945.550 billion FCFA from its customers against 753.787 billion FCFA a year earlier (+ 25.43%). In return, its receivables from customers amounted to CFAF 962.176 billion against CFAF 809.906 billion in 2019 (+ 18.80%).
Interest and similar products stood at 73.839 billion FCFA against 68.275 billion a year earlier (+5.564 billion). For their part, interest and similar charges stood at 28.458 billion against 27.448 billion at the end of the 2019 financial year (+1.010 billion).
For their part, the commissions received by the bank on its products fell by 1.850 billion FCFA with an achievement of 15.899 billion against 17.749 billion in 2019. At the same time, commissions on charges increased 760 million to 4.073 billion against 3.313 billion in 2019.
The bank’s net banking income increased by 13% between 2019 and 2020, reaching 71.364 billion FCFA against 63.150 billion FCFA in 2019.
The general operating expenses of NSIA Banque Côte d’Ivoire saw their level increase by 10.12% to 40.921 billion FCFA against 37.150 billion FCFA in 2019.
