FCMB Profit Before Tax Rise To N22.7bn

FCMB Group Plc said its profit before tax rose to N22.7bn as of the end of 2021 financial period, from N21.9bn in 2020.

The group disclosed in its financial results for the year ended December 31, 2021, that its profit after tax also rose by seven per cent to N20.9bn.

In a statement, it declared a higher dividend of 20 Kobo per share to shareholders, from 15 Kobo per share in 2020.

“The impressive result across market fundamentals shows an increased gross revenue to N212bn, representing a seven per cent growth compared to N198.4bn in 2020,” the statement said.

It added that, “The financial results also showed enhanced customers confidence in FCMB, as deposits increased by 24 per cent to N1.6tn from N1.3tn in the previous year.

“Loans and advances grew by 29 per cent to N1.1tn at the end of December 2021, as against N822.8bn the previous year. In addition, the total assets of the Group rose by 21 per cent toN2.5tn.”

FCMB Group’s assets under management rose by six per cent to N525.8bn in 2021, from N495.2bn in 2020, it added.

The statement said net interest income grew marginally by 0.2 per cent year-on-year to N90.9bn for full-year 2021, from N90.7bn for the full-year 2020.

Non-interest income increased to N43.1bn last year, representing 17 per cent growth from N36.8bn prior year.

This was due to an increase in electronic fees and commissions from digital channels.

Trading income also surged by 32 per cent year-on-year resulting from higher volumes of fixed income instrument trades.

The capital adequacy ratio remained stable at 16.2 per cent for the retail and commercial banking subsidiary of the Group (that is, First City Monument Bank), while the liquidity ratio of the bank stood at 34.8 per cent as of the end of the financial year 2021, indicating that the financial institution is in a healthy position.

FCMB said it also acquired an additional 1.1 million customers in 2021, increasing its total customer base to 9.4 million from 8.3 million in 2020.

This stellar performance is a clear indication that the digital transformation drive of the financial institution is yielding the desired results and is appreciated by the market.