FCMB Group Plc has reported strong financial results for the first half of 2025, with gross earnings rising by 41.3% to N529.2 billion, compared to N374.5 billion in the same period of 2024. The increase was largely driven by a significant 70.3% jump in interest and discount income, which reached N458.4 billion, reflecting improved yields and growth in the company’s loan book, which now stands at N2.38 trillion.
Net interest income nearly doubled year-on-year, rising by 95.3% to N207.4 billion. However, the Group also saw a 54.1% increase in interest expenses, amounting to N251.0 billion. Fee and commission income showed robust growth as well, with net fee and commission income climbing by 51.3% to N37.9 billion, aided by both rising income and reduced commission-related expenses.
Despite the strong top-line figures, FCMB experienced setbacks in other areas. Net trading income fell by 29.3% to N22.2 billion, and other gains dropped significantly to just N696.3 million, down from N37.1 billion. These declines were attributed to weaker revaluation and disposal gains on financial instruments.
Operational costs also escalated sharply. Personnel expenses increased by 34.4%, while administrative costs surged by nearly 60%. Depreciation and other operational costs also contributed to the rise in total expenditure, reflecting the broader inflationary pressures in the Nigerian economy and strategic expansion efforts by the Group.
Even with rising costs, the Group delivered solid profitability. Profit before tax rose 23.2% to N79.1 billion, while profit after tax reached N73.4 billion. Total comprehensive income for the period stood at N80.3 billion, slightly below the previous year due to lower foreign currency gains. FCMB’s asset base grew to N7.54 trillion, with customer deposits up 39.9% and shareholders’ equity increasing by 24.3%, although earnings per share dropped to N3.70 due to capital restructuring.
Source: Punch