FCMB grows profit 600 percent in Q3
FCMB Group has reported a profit after tax (PAT) of N12.98 billion for the nine month period ended 30 September 2016, representing an increase of 596 percent from N1.87 billion recorded in the corresponding period of 2015.
The group which comprises First City Monument Bank (FCMB), FCMB Capital Markets, CSL Stockbrokers and CSL Trustees, attributed the impressive results partially to its sound ratios, steady buffers against the subsisting adverse operating environment, and sustained revenue momentum combined with cost optimization programme.
Other details of the group’s unaudited Results announced on the floor of the Nigerian Stock Exchange (NSE) at the weekend, showed revenue was N34.1 billion for the nine-month period, from N7.7 billion recorded for the same period of the prior year.
The group also recorded Net-interest income of N53.2 billion which is an increase of 9 percent from N48.7 billion for the same period prior year. The group reduced total expenses by 2.3 percent from N50.5 billion to N49.3 billion and recorded a profit before tax of N14.2 billion an increase of 453 percent from N2.6 billion recorded in the comparative period of 2015.
According to a statement from the banking group, the group also recorded non-interest income of N44.8 billion which, an increase of 128 percent Year-on-Year from N19.6 billion for the same period prior year. “This increase has been predicated on a 612 percent year-on-year increase in foreign exchange income, from N5.0 billion for the nine-months ended September 2015, to N35.3 billion for the nine months ended September 2016.”
The Managing Director of FCMB Group, Mr. Peter Obaseki, commenting said, “The audited nine months results for the period ended September 2016, reflects our focus on key soundness ratios and the need to maintain buffers against a sustained adverse operating environment. Accordingly, capital adequacy and liquidity ratios have held up at 17.6 percent and 36.8 percent, respectively. Overall, profit before tax came in at N14.2bn, a 453 percent growth, translating to an EPS of 87 kobo, up 30.6 percent, YoY, Underlying revenue momentum remains strong.
