FCMB Group grows profit to N11bn H1’20

The financial services provider, FCMB Group Plc has released its half year results for the six months ended June 30, 2020.

The results showed that the bank’s profit before tax (PBT) rose by 26 per cent to N11.1 billion compared to N8.8 billion in the corresponding period in 2019.

Also, its profit after tax increased by 29 per cent year-on-year to N9.7 billion in the period under review. This, the bank explained in a statement, translated to a return on average equity (RoAE) of 9.4 per cent and earnings per share of 49 kobo, a year-on-year improvement of 16 per cent and 29 per cent respectively.

FCMB Group is a holding company divided along three business groups: Commercial and Retail Banking (First City Monument Bank Limited, Credit Direct Limited, FCMB (UK) Limited and FCMB Microfinance Bank Limited); Corporate & Investment Banking (the Corporate BankingDivision of the Bank, FCMB Capital Markets Limited and CSL Stockbrokers Limited) as well as Asset & Wealth Management (FCMB Pensions Limited, FCMB Asset Management Limited and FCMB Trustees Limited).

The half year results also showed that the Group recorded an increase in gross revenue by nine per cent, to N98.2 billion as against N89.8 billion for the same period last year.

Net interest income equally rose by 17 per cent for the first half of 2020 to N45.4 billion from N38.7 billion posted in the first half of 2019, while non-interest income stood at N17.5 billion, an increase of 14 per cent, compared to N15.3 billion within the six months period last year.

The results showed that the bank’s loans and advances grew by 29 per cent year-on-year and four per cent quarter-on-quarter to N794.6 billion.

Similarly, customer deposits went up by 28 per cent year-on-year and 11 per cent quarter-on-quarter to N1.1 trillion in June 2020, implying a significant increase in confidence in the institution.

According to the results, FCMB Group’s total assets surged upward by 31 per cent year-on-year and four per cent quarter-on-quarter to N1.97 trillion as at June 2020.

The Group’s capital adequacy ratio stood at 17.3 per cent, above the minimum requirement set by the Central Bank of Nigeria, while its liquidity ratio was 32.2 per cent.

FCMB Group’s subsidiaries also performed satisfactorily within the six months period. For instance, the Commercial and Retail Banking arm (comprising First City Monument Bank Limited, FCMB UK, Credit Direct Limited and FCMB Microfinance Bank) reported a 42.9 per cent year-on-year increase in profit before tax.