PLC

UNAUDITED FINANCIAL STATEMENTS FOR THE PERIOD ENDED 30 JUNE, 2023

UNAUDITED CONSOLIDATED AND SEPARATE STATEMENT OF COMPREHENSIVE INCOME FOR THE PERIOD ENDED 30 JUNE, 2023

UNAUDITED CONSOLIDATED AND SEPARATE STATEMENT OF CASH FLOW FOR THE PERIOD ENDED 30 JUNE, 2023

In thousands of GH¢

2023

2022

Interest income

Bank

Group

Bank

Group

448,765

461,188

258,517

267,359

Interest expense

(208,138)

(206,786)

(93,744)

(93,173)

Net interest income

240,627

254,402

164,773

174,186

Fee and commission income

38,964

58,297

33,033

48,268

Fee and commission expense

(1,388)

(1,388)

(628)

(628)

Net fee and commission income

37,576

56,909

32,405

47,640

Net trading income

33,993

33,993

25,405

25,405

Net income from investments at fair value thru. P&L

1,770

1,955

4,668

5,184

Other operating income

9,181

9,181

4,396

4,396

Other income

6,168

8,330

9,096

10,797

Operating income

329,315

364,770

240,743

267,608

Net impairment loss on financial asset

(10,500)

(9,980)

(41,643)

(41,644)

Personnel expenses

(97,641)

(114,615)

(77,468)

(89,842)

Operating lease expenses

(319)

(319)

(853)

(853)

Depreciation and amortization

(15,786)

(16,912)

(11,370)

(12,265)

Other expenses

(76,864)

(84,542)

(46,162)

(51,215)

Profit before income tax for the period

128,205

138,402

63,247

71,789

National Fiscal Stabilization Levy

(6,385)

(6,819)

(3,163)

(3,571)

Financial Sector Recovery Levy

(6,385)

(6,385)

(3,163)

(3,163)

Tax expense

(33,842)

(35,870)

(15,864)

(17,924)

Profit for the period

81,592

89,328

41,057

47,131

Other comprehensive income

-

-

-

-

Other comprehensive income, net of tax

Total comprehensive income for the period

81,592

89,328

41,057

47,131

Profit attributable to:

81,592

87,686

Controlling Equity holders of the Bank

41,057

45,888

Non-controlling interest

-

1,642

-

1,243

Profit for the period

81,592

89,328

41,057

47,131

Total comprehensive income attributable to:

81,592

87,686

Controlling Equity holders of the bank

41,057

45,888

Non-controlling interest

-

1,642

-

1,243

Total comprehensive income for the period

81,592

89,328

41,057

47,131

UNAUDITED CONSOLIDATED AND SEPARATE STATEMENT OF FINANCIAL POSITION AS AT 30 JUNE, 2023

In thousands of GH¢

2023

2022

Assets

Bank

Group

Bank

Group

2,287,161

2,287,212

Cash and cash equivalents

892,827

892,853

Non-pledged trading assets

11,084

11,084

10,304

10,304

Pledged assets

425,082

425,082

20,577

20,577

Investment securities

1,056,173

1,086,863

1,319,284

1,349,803

Loans and advances to customers

2,149,788

2,149,788

1,883,319

1,883,319

Investment in subsidiaries

13,543

-

13,543

-

Deferred tax assets

11,573

12,050

19,877

20,561

Intangible assets

7,083

6,308

8,178

8,343

Other assets

34,074

48,737

26,279

33,307

Property, plant and equipment

224,780

230,722

131,793

136,679

Total assets

6,220,341

6,257,846

4,325,981

4,355,746

In thousands of GH¢

Profit before tax

Adjustments for:

Depreciation and amortization

Profit on disposal of property and equipment

Net impairment loss on loans and advances Impairment on Investment

Impairment of goodwill

Net interest income

Fair value change- investments securities

FVTPL

Exchange difference

Effect of foreign exchange fluctuations on cash & cash equiv.

Increase/Decrease in trading assets Increase/Decrease in pledged assets Increase in loans and advances to customers

Increase in interest receivable and other assets

Increase in deposits from customers

Increase in interest payables and other liabilities

Cash generated from operations

Interest paid

Interest received

Corporate tax paid

GSL/NFSL paid

Financial Sector Recovery Levy paid

Net cash generated from operating activities

Cash flows from investing activities Purchase of property, plant and equipment

Proceeds from sale of property, plant and equipment

Purchase of investment securities at amortised cost

Sale of investment securities at amortised cost

Proceeds from sale of investment securities / interest received - FVTPL

Net cash used in investing activities

Cash flows from financing activities Repayment of borrowings

Net cash generated from financing activities

Increase/Decrease in cash and cash equivalents

Effect of foreign exch. fluctuations on cash & cash equiv.

At 1 January

Cash and cash equivalents as at 31 December

2023

2022

Bank

Group

Bank

Group

128,205

138,402

63,247

71,789

15,786

16,912

11,370

12,265

(84)

(84)

(41)

(41)

10,500

9,743

41,643

41,643

-

237

-

-

-

-

971

971

(240,627)

(254,402)

(164,773)

(174,186)

(1,770)

(1,955)

(4,668)

(5,184)

24,249

24,249

28,031

28,031

(87,826)

(87,826)

(56,200)

(56,200)

(780)

(780)

7,357

7,357

(390,934)

(390,934)

53,829

53,829

(191,771)

(191,771)

(135,324)

(135,324)

(11,312)

(15,430)

(9,006)

(6,758)

1,148,622

1,139,668

58,906

57,704

12,762

10,950

27,160

21,147

415,021

396,979

(77,498)

(82,957)

(208,138)

(208,138)

(93,744)

(93,744)

448,765

452,872

258,517

262,624

(13,666)

(15,310)

(13,752)

(15,527)

(2,796)

(3,032)

(2,774)

(3,138)

(2,796)

(2,796)

(2,774)

(2,774)

636,390

620,575

67,976

64,485

(23,190)

(24,633)

(8,382)

(10,634)

180

180

253

253

(4,952,695)

(4,952,695)

(1,693,592)

(1,765,513)

4,888,202

4,905,501

1,568,204

1,645,888

-

-

7,199

7,199

(87,504)

(71,648)

(126,318)

(122,808)

(109,479)

(109,479)

(51,086)

(51,086)

(109,479)

(109,479)

(51,086)

(51,086)

439,408

439,449

(109,428)

(109,409)

87,826

87,826

56,200

56,200

1,759,927

1,759,937

946,055

946,062

2,287,161

2,287,212

892,827

892,853

Liabilities and equity

400,431

400,431

Deposits from banks

95,054

95,054

Deposits from customers

4,838,472

4,807,782

3,173,947

3,151,978

Borrowing

-

-

109,849

109,849

Current tax liabilities

13,345

13,804

3,504

3,496

Deferred tax liabilities

9,957

10,121

9,957

10,121

Other liabilities

215,020

233,547

202,682

212,028

Total liabilities

5,477,225

5,465,685

3,594,993

3,582,526

Equity

401,191

401,191

Stated capital

401,191

401,191

Income surplus

(111,298)

(72,537)

(28,424)

5,919

Revaluation reserve

63,282

63,282

24,852

24,852

Statutory reserve fund

192,324

192,324

192,326

192,326

Regulatory credit risk reserve

196,873

196,873

140,299

140,299

Housing development assistance reserve

744

744

744

744

Total equity attributable to equity holders of the Bank

743,116

781,877

730,988

765,331

Non-controlling interest

-

10,284

-

7,889

Total equity

743,116

792,161

730,988

773,220

Total liabilities and equity

6,220,341

6,257,846

4,325,981

4,355,746

UNAUDITED CONSOLIDATED AND SEPARATE STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED 30 JUNE, 2023

The Bank-2023

In thousands of GH¢

Stated

Income

Statutory

Revaluation

Housing

Regulatory

Total

surplus

reserve

development

credit risk

Capital

account

fund

reserve

assistance

reserve

Equity

reserve

Balance at 1 January

401,191

(192,890)

192,324

63,282

744

196,873

661,524

2023

Profit for the year

-

81,592

-

-

-

-

81,593

Transfers from

income surplus to

reserves

Transfer to statutory

-

-

-

-

-

-

-

reserve fund

Transfer to regulatory

-

-

-

-

-

-

-

credit risk reserve

Total transfers

-

-

-

-

-

-

-

At 30 June 2023

401,191

(111,298)

192,324

63,282

744

196,873

743,116

Continued on next page...

republicghana.com email@republicghana.com

Continued from previous page...

PLC

UNAUDITED FINANCIAL STATEMENTS FOR THE PERIOD ENDED 30 JUNE, 2023

The Bank-2022

Income

Statutory

Housing

Regulatory

Total

Stated

Revaluation

development

In thousands of GH¢

surplus

reserve

credit risk

Capital

reserve

assistance

Equity

account

fund

reserve

reserve

Balance at 1 January 2022

401,191

24,371

192,326

24,852

744

46,448

689,932

Profit for the year

-

41,057

-

-

-

-

41,057

Transfers from income surplus

to reserves

Transfer to statutory reserve

-

-

-

-

-

-

-

fund

Transfer from regulatory credit

-

(93,851)

-

-

-

93,851

-

risk reserve

Total transfers

-

(93,851)

-

-

-

93,851

-

At 30 June 2022

401,191

(28,424)

192,326

24,852

744

140,299

730,988

UNAUDITED CONSOLIDATED AND SEPARATE STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED 30 JUNE, 2023

The Group-2023

In thousands of GH¢

Stated

Income

Statutory

Revaluation

Housing

Regulatory

Non-controlling

Total

surplus

reserve

development

credit risk

Capital

account

fund

reserve

assistance

reserve

interest

Equity

reserve

Balance at 1 January

401,191

(160,222)

192,324

63,282

744

196,873

8,642

702,833

2023

Profit for the year

-

87,686

-

-

-

-

1,642

89,328

Dividend

-

-

-

-

-

-

-

-

Transfers from

income surplus to

reserves

Transfer to statutory

-

-

-

-

-

-

-

-

reserve fund

Transfer to regulatory

-

-

-

-

-

-

-

-

credit risk reserve

Total transfers

-

-

-

-

-

-

-

-

At 30 June 2023

401,191

(72,537)

192,324

63,282

744

196,873

10,284

792,161

The Group-2022

In thousands of GH¢

Stated

Income

Statutory

Revaluation

Housing

Regulatory

Non-controlling

Total

surplus

reserve

development

credit risk

Capital

account

fund

reserve

assistance

reserve

interest

Equity

reserve

Balance at 1 January

401,191

53,882

192,326

24,852

744

46,448

6,646

726,089

2022

Profit for the year

-

45,888

-

-

-

-

1,243

47,131

Transfers from

income surplus to

reserves

Transfer to statutory

-

-

-

-

-

-

-

-

reserve fund

Transfer from

-

(93,851)

-

-

-

93,851

-

-

regulatory credit risk

reserve

Total transfers

-

(93,851)

-

-

-

93,851

-

-

At 30 June 2022

401,191

5,919

192,326

24,852

744

140,299

7,889

773,220

NOTES TO THE UNAUDITED CONSOLIDATED AND SEPARATE FINANCIAL STATEMENTS FOR THE PERIOD ENDED 30 JUNE, 2023

The summary financial statement presented in this publication are extracts from the unaudited financial statements for the period ended 30 June 2023, which are available for inspection at the Head Office of Republic Bank (Ghana) PLC located at the No. 35 Six Avenue North Ridge, Accra.

1. Significant accounting policies

Basis of preparation

The summary financial statements are prepared in accordance with the requirements of the Guide for Financial Publication for Banks and Bank of Ghana Licensed Financial Institutions and, in the form, and manner required by

the Securities and Exchange Commission Regulations, 2003 as applicable to summary financial statements. The Guide require the summary financial statements to be prepared in accordance with the framework concepts and the measurement and recognition requirements of International Financial Reporting Standards (IFRSs) as issued by the International Accounting Standards Board (IASB) and adopted by the Institute of Chartered Accountants, Ghana (ICAG).

The accounting policies applied in the preparation of the audited financial statements, from which the summary financial statements were derived, are in accordance with IFRSs and are consistent with the accounting policies applied in the preparation of the previous annual audited financial statements.

2. Quantitative Disclosures

2023

2022

a.

Capital Adequacy Ratio (CRD) (%)

19.44

21.89

b.

Non-Performing Loan (NPL) Ratio (%)

18.45

18.22

c.

Liquidity ratio (%)

124.34

145.94

d.

Leverage Ratio (%)

7.47

11.39

e.

Contingent liabilities (GHS'000)

182,461

194,209

3. Qualitative Disclosures a. Dominant Risks

The Bank is exposed to the following risks:

•

Credit Risk

•

Liquidity Risk

•

Operational Risk

•

Market Risk

The Board of Directors established the Bank's Risk Management Frameworks and Assets and Liabilities Committee (ALCO) to be responsible for the monitoring of the Bank's risks.

The Bank has Risk Management and Compliance Department which have policy and procedure manuals which have been instituted by the Board of Directors and Management. A comprehensive departmental manual has established a framework within which Management effectively manages and controls risks. The tasks involve in the risk management functions are to identify, define, measure, control, monitor and mitigate potential events that could impair the ability of the Group to generate stable and sustainable financial results from its operations.

  1. Risk management, compliance frameworks and measurement

All risks are qualitatively and quantitatively evaluated on a recurring basis. Management understands the degree and nature of risk exposures on decisions regarding allocation of resources. Risk assessment is validated by the Risk Department which also tests the effectiveness of risk management activities and makes recommendations for remedial action. The Bank also identifies risk by evaluating the potential impact of internal and external factors, business transactions and positions. Once the risks are identified, various mitigating measures are put in place to regulate the degree of risks involved.

4. Defaults in statutory liquidity and accompanying sanctions

2023

2022

Default in Statutory Liquidity (Times)

Nil

Nil

Default in Statutory Liquidity Sanctions (GHS'000)

Nil

Nil

"The financial statements do not contain untrue statements, misleading facts, or omit material facts, to the best of our knowledge."

Paul King Aryene

Benjamin Dzoboku

Acting Board Chairman

Managing Director

republicghana.com email@republicghana.com

Attachments

  • Original Link
  • Original Document
  • Permalink

Disclaimer

Republic Bank (Ghana) Ltd. published this content on 11 July 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 11 July 2023 19:23:09 UTC.