For nine months ended September 30, 2018, First City Monument Bank Group Plc has reported a Profit Before Tax (PBT) of N14.8 billion, a 116 per cent increase from N6.8 billion achieved for the same period in 2017.
The group profit for the period also rose by 107.3 per cent to N11.3 billion from N5.47 billion reported in prior nine months unaudited financial statement.
According to the Group statement, the improved performance continues to reflect the improving performance of the bank, as well as, the effects of diversification through our investments in asset and wealth management.
The group in a statement said, “Our Asset & Wealth Management division (which comprises Legacy Pension Managers Limited, First City Asset Management Limited and CSL Trustees Limited) grew its AUM by three per cebt QoQ to N304.8billion, whilst increasing PBT by 339per cent YoY, to N1.4billion, representing a 10per cent contribution to Group’s PBT.
“Our Pensions business now accounts for 87per cent of AUM, while our Collective Investment Schemes and Wealth Management activities should account for 13per cent of total AUM by the end of 2018. New product development and innovation in distribution strategies will drive AUM and income growth in 2019.
“Our Commercial & Retail Banking group (which comprises First City Monument Bank Limited, Credit Direct Limited, FCMB (UK) Limited and FCMB Microfinance Bank Limited) generated a 103.5per cent increase in PBT to N12.0billion for nine months of 2018 from N5.9billion for nine months of 2017.
“Revenue increased 8.5per cent YoY majorly through a 60per cent increase in non-interest income, driven by a N9.2billion YoY increase in its foreign exchange income for 9M18. Trading income also increased by 161per cent to N4.4billion for the period, while Net interest income increased by seven per cent YoY, which increased net interest margin to 8.1 per cent for nine months of 2018 from 7.6 per cent (9M17).
“Barring any unforeseen circumstances, we see improved operating performance in the last quarter of 2018, based on the stabilising macro-economic environment, declining cost of funds for the bank, and the growing contributions of asset and wealth management,” the group statement added.