FCMB Group Reports Strong First-Half Performance in 2025
FCMB Group Plc, a leading financial services provider, has announced robust unaudited financial results for the six months ended June 30, 2025. The group reported a 23% year-on-year increase in profit before tax (PBT) to ₦79.3 billion, driven by improved net interest income and asset yields.
Gross revenue surged by 41.3% to ₦529.2 billion compared to the first half of 2024, primarily due to a 70.3% growth in interest income. However, non-interest income plummeted by 35.1% following a significant drop in currency revaluation gains.
Net interest income nearly doubled, rising from ₦106.2 billion to ₦207.4 billion, while the yield on earning assets jumped to 20.2%, leading to a net interest margin of 9.1%.
FCMB’s digital business—encompassing payments, lending, and wealth services—experienced robust growth, with revenues soaring by 60% to ₦73.6 billion and accounting for 13.9% of total earnings.
Operating expenses climbed by 46.1% to ₦153.2 billion due to higher personnel costs, regulatory expenses, technology costs, and general inflationary pressures. Despite this, cost-to-income ratio improved to 57% at the end of June 2025, a decrease from 59.9% at the close of 2024.
Net impairment losses on financial assets Skyrocketed to ₦36.2 billion, following FCMB Group’s banking subsidiary exit from the Central Bank of Nigeria’s loan forbearance program. This resulted in a rise in the cost of risk to 2.8%, up from 1.8% in 2024.
After tax, profit surged by 23% year-on-year to close at ₦73.4 billion.
Each business division contributed to overall performance. Consumer Finance witnessed a 54.5% profit before tax growth, the Banking Group reported 41.3% growth, while Investment Management saw a 10% increase. Investment Banking, however, posted a 48.9% decline due to an exceptional one-time gain from a divestment last year.
In terms of contribution to the group’s PBT, the Banking Group accounted for 82%, followed by Consumer Finance at 11.6%, Investment Management at 4.8%, and Investment Banking at 1.4%.
Total assets surfaced 6.9% to ₦7.54 trillion, with loans and advances growing modestly by 1.1% to ₦2.38 trillion. Customer deposits, however, rose by 5.6% to ₦4.55 trillion, supported by a stronger mix of low-cost deposits.
FCMB’s investment banking business, covering advisory services and capital market transactions, witnessed a remarkable 600% year-on-year increase in capital raised for its clients to ₦2.97 trillion.
Edited by Media Talk Africa.
