ASSIGNMENT ON FINANCIAL STATEMENT ANALYSIS AND INTERPRETATION

(MFIN 605)

Afriwanda
Consolidated and Separate Statement of Profit or Loss and Other
Comprehensive Income for the Year Ended 31 December 2022

In Million Group Group Bank Bank

31 Dec 2022 31 Dec 2021 31 Dec 2022 31 Dec 2021
Interest and similar income 540,166 427,597 448,174 340,388
Interest and similar expense (173,539) (106,793) (153,019) (82,718)
Net interest income 366,627 320,804 295,155 257,670
Impairment charge on financial and (123,252) (59,932) (61,896) (56,175)
non-financial instruments

Net interest income after impairment loss on financial and non- 243,375 260,872 233,259 201,495
financial instruments
Net income on fees and commission 132,795 103,958 110,098 84,185
Trading gains 212,678 167,483 201,645 171,469
Other operating income 35,494 37,594 49,790 53,266
Depreciation of property and equipment (26,630) (25,305) (24,519) (23,204)
Amortisation of intangible assets (3,678) (3,779) (3,045) (3,064)
Personnel expenses (86,412) (79,885) (68,475) (61,123)
Operating expenses (222,972) (180,564) (204,703) (165,857)
Profit before tax 284,650 280,374 294,050 257,167

Income tax expense (60,739) (35,816) (59,457) (24,034)

Profit for the year after tax 223,911 244,558 234,593 233,133
Other comprehensive income:
Items that will never be reclassi!ed to profit or loss:
Fair value movements on equity instruments at FVOCI 8,109 5,599 8,109 5,599
Items that are or may be reclassi!ed to pro!t or loss:
Foreign currency translation differences for foreign operations (28,768) 8,485 - -
Fair value movements on debt securities at FVOCI (6,602) (2,227)
Other comprehensive(loss)/ income for the year net of taxation (27,261) 11,857 8,109 5,599
Total comprehensive income for the year 196,650 256,415 242,702 238,732
Profit (loss) attributable to:
Equity holders of the parent 224,050 244,402 234,593 233,133
Non controlling interest (139) 156
Total comprehensive income attributable to:
Equity holders of the parent 196,981 256,245 242,702 238,732
Non controlling interest (331) 170
Earnings per share
Basic and diluted (Naira) 7.14 7.78 7.47 7.43

Afriwanda Consolidated and Separate Statement of Financial

Position as at 31 December 2022
In Million Group Group Bank Bank
31 Dec 2022 31 Dec 2021 31 Dec 2022 31 Dec 2021
Assets
Cash and balances with central banks 2,201,744 1,488,363 2,102,394 1,397,666
Treasury bills 2,246,538 1,764,946 2,206,668 1,577,647
Assets pledged as collateral 254,663 392,594 254,565 357,000
Due from other banks 1,302,811 691,244 1,132,796 518,053
Derivative assets 49,874 56,187 48,851 57,476
Loans and advances 4,013,705 3,355,728 3,735,676 3,099,452
Investment securities 1,728,334 1,303,725 622,781 477,004
Investment in subsidiaries - - 34,625 34,625
Deferred tax asset 18,343 1,837 - -
Other assets 213,523 168,210 193,792 152,326
Property and equipment 230,843 200,008 214,572 177,501
Intangible assets 25,251 25,001 23,958 23,542
Total assets 12,285,629 9,447,843 10,570,678 7,872,292
Liabilities
Customers' deposits 8,975,653 6,472,054 7,434,806 5,169,199
Derivative liabilities 6,325 14,674 6,040 15,170
Current income tax payable 64,856 16,909 61,655 14,241
Deferred tax liabilities 16,654 11,603 15,911 11,596
Other liabilities 568,559 487,432 546,347 427,876
On-lending facilities 311,192 369,241 311,192 369,241
Borrowings 963,450 750,469 999,580 769,395
Debt securities issued - 45,799 - 45,799
Total liabilitles 10,906,689 8,168,181 9,375,531 6,822,517
Capital and reserves
Share capital 15,698 15,698 15,698 15,698
Share premium 255,047 255,047 255,047 255,047
Retained earnings 625,005 607,203 494,429 466,249
Other reserves 482,377 400,570 429,973 312,781
Attributable to equity holders of the parent 1,378,127 1,278,518 1,195,147 1,049,775
Non-controlling interest 813 1,144 - -
Total shareholders' equity 1,378,940 1,279,662 1,195,147 1,049,775
Total liabilities and equity 12,285,629 9,447,843 10,570,678 7,872,292

You are required to use the information of the Group in the table above to compute;
A). 4 Activity ratio
B). 3 Liquidity ratio
C). 3 Profitability ratios
D). 3 equity ratios
E). 3 Gearing ratios

Kindly interpret each result after the answer.