FCMB Group Plc has announced a significant 108 percent increase in its pre-tax profit for the nine months ending September 2023, reaching an impressive N55.1 billion.
This remarkable growth is a substantial leap from the figures reported in the same period in 2022. The financial results for the third quarter of 2023 also show a strong performance, with the group posting a pre-tax profit of N16.9 billion, which is a 52.7 percent increase year-on-year compared to Q3 2022.
After taxes, the group’s profit stood at N49.15 billion for the nine-month period, marking a 114.4 percent year-on-year growth.
This robust increase underscores the group’s solid financial position and the overall robust performance of Nigerian banks during this period. A closer look at the Q3 2023 figures in comparison to Q3 2022 reveals several key highlights:•
Net interest income soared by 46.42 percent to N48.16 billion, Net fee and commission income saw a decrease of 8.94 percent, totaling N9.26 billion, Net trading income dropped by 54.05 percent to N1.12 billion, Net impairment losses on financial instruments rose by 23.72 percent to N9.91 billion, Personnel expenses increased significantly by 52.56 percent to N12.85 billion. General and administrative expenses went up by 33.23 percent to N16.11 billion.,Profit before taxation climbed by 52.68 percent to N16.91 billion. Profit for the period grew by 48.44% to N13.74 billion. Total assets expanded by 30.03 percent year-to-date to N3.88 trillion.
The return on Equity was recorded at 15.13 percent for Q3 2023. Despite these strong numbers, FCMB Group’s return on equity of 15.1 percent places it at a lower rank among its banking peer, year-on-year growth was also evident in the group’s loan portfolio, which increased by 34.3 percent to N1.19 trillion, and its customer deposits, which saw a 39.1 percent rise to N2.53 trillion within the nine months.
The financial results of FCMB Group Plc not only highlight the company’s growth and resilience but also reflect the dynamic and growing banking sector in Nigeria.
The group’s ability to navigate the economic landscape has resulted in substantial profitability and asset growth, signaling a positive outlook for the remainder of the year.