Equity Bank has reported a 37 per cent rise in pre-tax profits to £4.116 million in 1997. The bank reported strong growth across all sectors of its operations, enjoying particularly strong growth in deposits over the 12-month period.
Total lending increased to £300 million, with the chief executive, Mr Mark Duffy, predicting the bank will advance up to £450 million this year.
Equity Bank, a subsidiary of Bank of Scotland, also enjoyed a surge in deposits, which rose by 86 per cent from £164 million to £305 million. Much of this growth came from deposits from the charities and religious orders, a sector the bank has aggressively targeted.
The bank reported a 53 per cent increase in assets to £474 million, with shareholders funds up by 50 per cent to £24 million. Equity has reorganised its activities into four core areas: corporate banking, trade finance, treasury and a financial services call centre.
Corporate banking activities generated around 70 per cent of bank profits, according to Mr Duffy. Its telebanking division continues to make losses, showing a loss of £450,000 last year, but he suggests this should be further reduced this year and has the potential to break even after that.
Its Northern Ireland division has also made a contribution, and Equity Bank has also recently taken over its parent's International Financial Services Centre licence.
Mr Duffy said the bank was closely monitoring acquisition opportunities in the Irish market, as it is keen to expand if the right opportunity arises.
Meanwhile, Bank of Scotland, reported a 17 per cent rise in pre-tax profits to £779.1 million sterling (£927.3 million). Total group profit increased by 19 per cent to £980.2 million.
