FCMB’s 9-month profit up by 29%, boosted by higher turnover

FCMB Group Plc said its after-tax profit for the 9-month period to September grew by 29%, relative to the same period of last year as improvement in gross earnings strengthened gains.

The tier-2 lender disclosed in its interim financial statements for the period under review, obtained from the Nigerian Stock Exchange (NSE) website on Monday that gross earnings scaled up by 7.8% from N135.824 billion to N146.426 billion.

Net interest income jumped by 21.4% to N68.053 billion from N56.061 billion.

However, net fee and commission income declined, moving from N15.308 billion down to N14.910 billion, implying a 2.6% dip.

Profit before minimum tax and income tax advanced by 23.8% to N15.850 billion, up from N12.803 billion.

Profit for the period climbed from N10.791 billion to N13.903 billion, an improvement of 28.8% over what was reported in the corresponding period of 2019.

Read also: FCMB’S Profit After Tax plunges despite improved gross earnings

On the expenditure side, impairment losses on financial instruments worsened by 70%, rising from N7.852 billion to N13.342 billion.

Similarly, other operating expenses increased from N13.218 billion to N16.175 billion, meaning a 22.4% increase.

Shareholders’ fund lifted from N130.062 billion to N214.832 billion.

FCMB’s earnings per share are N1.05 while its price-to-earnings ratio is 3.09. The lender’s outstanding shares total 19.8 billion.