FCMB Group Records 86% Increase in Profit to N7.1bn in Six Months

FCMB Group Plc recorded a profit before tax (PBT) of N7.1 billion for the six-months ended 30 June 2018. This represents an increase of 86% from N3.8billion achieved for the same period in 2017. The positive development reflects the improving performance of the financial institution, as well as the effects of diversification through its investments in asset and wealth management.

FCMB Group Plc, which is a holding company, is made up of operating companies 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); Investment Banking (FCMB Capital Markets Limited and CSL Stockbrokers Limited); and Asset & Wealth Management (Legacy Pension Managers Limited, First City Asset Management Limited and CSL Trustees Limited).

FCMB Group Plc, which is a holding company, is made up of operating companies 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); Investment Banking (FCMB Capital Markets Limited and CSL Stockbrokers Limited); and Asset & Wealth Management (Legacy Pension Managers Limited, First City Asset Management Limited and CSL Trustees Limited).

The Commercial & Retail Banking group (which comprises First City Monument Bank Limited, Credit Direct Limited, FCMB (UK) Limited and FCMB Microfinance Bank Limited) generated a 32.2% increase in PBT to N2.9bn for half year 2018 from N2.2billion at the end of first quarter 2018. Revenue increased 3.7%YoY, driven by an 8.1% YoY increase in non-interest income and an 8.7% YoY increase in net-interest income. The latter’s increase was largely due to reduction in cost of funds from growth in Personal Banking and SME deposits. This increased net interest margin to 7.7% for HY18 from 7.5% (HY17). Moreover, non-interest income increased by 6.3% QoQ to N6.7billion, due to mobile banking income earned.