FCMB nets N9.6bn profit in six months

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FCMB Group Plc has reported an increased revenue earning of 11 percent Year on Year (YoY), to N77.4 billion for the first six months of the year, even as its pre-tax profit dropped by 14 percent to N9.6 billion.
The period also saw increased business momentum, with total assets growing 15 percent YoY to N1.22 trillion and up five percent Year-to- Date (YTD).
Customer’s confidence in FCMB remained strong, as deposits grew by four percent during the period to N785.8 billion, just as the diversification of FCMB across commercial banking, investment banking and wealth management, provided some cushion as earnings from non-banking activities proved more resilient.
FCMB Ltd, the commercial and retail banking subsidiary of FCMB Group Plc, continued to validate its increased drive into retail contributing 21 percent (N1.7bn) of FCMB Ltd’s Profit Before Tax.
The retail group also grew deposits 21 percent YoY to N431.2bn, or 54 percent of total deposits.
The bank continued its drive of inclusive lending, granting just over 9,100 new loans to micro-enterprises, even as its credit card offering saw increased patronage, with over 17,000 cards issued in the first half of this year.
Corporate banking activities were however constrained by scarcity of foreign exchange and tight monetary policy, which affected trade finance, foreign exchange trading and lending activities.
In the first half of 2015, the bank’s UK wholesale banking subsidiary, FCMB Bank (UK) Ltd, broke even after 14 months of operations as a deposit-taking institution.
The investment banking group of FCMB Group Plc – comprising of financial advisory (FCMB Capital Markets Ltd (FCMB-CM)) and stockbroking (CSL Stockbrokers Ltd (CSLS)) – delivered a six percent YoY increase in Profit After Tax (PAT) of N414 million, driven by financial advisory, equity capital raising and asset management fees.
On the operating side, FCMB-CM had notable accomplishments, including …Read More

Source:: New Mail