By Ayomide Otitoju
FCMB Group Plc has reported a profit after tax (PAT) of N82.4 billion for the nine months ended September 30, 2024, marking a robust 68% increase compared to the N49.2 billion recorded in the same period last year.
This financial performance, disclosed in the group’s third-quarter results filed with the Nigerian Exchange, highlights significant growth in earnings, driven by strong revenue streams and effective cost management.
The group’s gross earnings surged by 67% to N587.8 billion, up from N351.5 billion in 2023. Interest and discount income, a major revenue contributor, rose sharply by 86% to N445.8 billion from N239.1 billion. Supporting this growth, net interest income increased by 44% to N173.8 billion from N120.5 billion.
Fee and commission income grew by 24%, reaching N51.8 billion, compared to N41.5 billion last year, while other income rose by 30% to N39.3 billion. These gains reflect the group’s ability to leverage investments and trading operations effectively.
Additionally, impairment losses on financial instruments dropped by 22% to N44.4 billion, down from N57.0 billion, showcasing the group’s focus on risk management and balance sheet health.
However, rising costs accompanied the revenue growth. Personnel expenses climbed by 66% to N56.5 billion, driven by workforce expansion to support business growth, while general and administrative expenses rose by 51% to N62.2 billion, largely due to investments in technology and infrastructure.
Total comprehensive income for the period stood at N142.6 billion, representing a 68% increase from N84.8 billion in 2023. Equity holders reaped the benefits, with profit attributable to shareholders rising to N76.9 billion, up from N47.3 billion last year.
FCMB’s total assets grew by 54% to N6.8 trillion, bolstered by increased loans and advances to customers, as well as investment securities. Meanwhile, equity rose by 27% to N588.1 billion, supported by retained earnings and the issuance of Additional Tier 1 capital.
Earnings per share for the period also reflected the improved performance, standing at N5.55, compared to N3.31 in 2023.
The group successfully raised N150 billion between April and September 2024 as part of its recapitalization efforts, positioning itself for further growth.
Despite a challenging operating environment, FCMB Group’s strong performance underscores its resilience and strategic focus on sustainable growth.
