FCMB Group Plc (NGX: FCMB) today announced a 108% Year-on-Year (YoY) growth in profit before tax (PBT) to N55.1 billion for the nine months ended September 30, 2023, compared to N26.5 billion in the corresponding period of 2022.
The Group’s strong financial performance can be attributed
to the collective strength of its diverse business segments. The Banking Group
recorded a growth in earnings of 130.1%, while Consumer Finance saw a growth of
32.6%. Investment Management and Investment Banking also performed well, with
growth rates of 38.7% and 27.6% respectively.
Commenting on the results, the Group Chief Executive of FCMB
Group Plc, Mr Ladi Balogun, said:
“We continue to leverage our unique group structure to build
a technology-driven ecosystem that fosters inclusive and sustainable growth in
the communities we serve. This strategy enables us to deliver robust
performance despite the challenging domestic and global environment. Barring
unforeseen circumstances, we believe this trend will be sustained and
accompanied by improving efficiencies arising from greater scale and ongoing
digitisation”.
Gross revenue rose 75.7% to N351.5 billion as at September
2023, compared to N200.1 billion for the prior year. This was driven by a 55.1%
growth in interest income and a 144.6% growth in non-interest income. Net
interest income grew 29.5% to N120.5 billion from N93.1 billion in the prior
year. This was driven by an increase in the yield on earning assets for the
period ended September 2023.
FCMB increased its lending activities, providing loans and
advances totalling N1.59 trillion, a 34.3% increase from the previous year.
Simultaneously, the institution experienced a 39.1% YoY growth in customer
deposits to N2.53 trillion, showcasing the unwavering trust of its customers.
The Group’s total assets grew by an impressive 32.2% YoY to N3.88 trillion from
N2.93 trillion, strengthening its position as a leading financial institution
in Nigeria.
Assets Under Management (AUM) recorded a 26.1% YoY growth
from N756.1 billion to N953.7 billion as at September 2023.
The Group’s customer base expanded 15.4% YoY, reaching 12
million as of September 2023, reflecting a current-year growth of over 1.1
million customers. Additionally, the agency banking business expanded its
network to over 120,000 agents, acquiring over 130,000 customers. Investment
Banking transaction value consummated by the Group rose to N690.9 billion,
marking a 15.2% YoY growth.
In addition, the Group completed the issuance of a Series 2
Additional Tier 1 Capital Bond under its N300 billion Debt Issuance Programme
for its Banking Subsidiary, bringing the total Additional Tier I Capital raised
during the year to ₦46.7 billion. Its consumer finance business, Credit Direct
Limited, also completed its maiden Commercial Paper Issuance to further
diversify the Company’s funding base.