FCMB Group posted a dramatic rise in earnings for 2025, with net profit increasing by 141.2 per cent, helped by a remarkable growth in interest income, its principal revenue source.
The unaudited financial report of the banking group, released on Thursday, showed that gross earnings leapt by more than two-fifths to N1.1 trillion compared with a year ago.
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Net interest income, a performance metric that measures the difference between what banks charge borrowers and what they pay out to savers for holding their deposits, stood at N502.9 billion, up from N225.3 billion.
Net fee and commission income was up by 25.6 per cent at N73.8 billion, driven by service fees and commissions as well as account maintenance fees.
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At N86 billion, FCMB Group set aside 108.5 per cent more than it did in 2024 as a provision to cover problem loans that have been impaired by repeated defaults.
“We have successfully concluded our public offer and are on track to complete the minority subsidiary sale by the end of December,” the financial services group said last month.
“Subject to CBN capital verification (currently ongoing), shareholder approval at the EGM, and the required regulatory consents, we are positioned to deliver the N500bn capital target ahead of the March 2026 deadline for our banking subsidiary, FCMB Limited,” it added.
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An investment banker, who asked not to be named, told PREMIUM TIMES last year that the group was considering offloading its stake in the consumer credit provider, Credit Direct.
The proceeds are to be used to boost the recapitalisation plans of its banking division, she added.
READ ALSO: BUA Foods annual profit hits record N508 billion on higher sales, easing cost pressures
In the period under review, other losses stood at N11.6 billion, reflecting a significant foreign exchange loss, compared with other gains of N39.6 billion in the same period of 2024.
Profit before tax rose to N200.9 billion from N112.1 billion, while profit for the period climbed to N176.9 billion from N73.3 billion.
Return on equity, which gauges how much of shareholder funds has been turned into profit, stood at 21.5 per cent, up from 10.6 per cent.
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