FCMB Group Plc has announced its unaudited financial results for the six months ended June 30, 2025, reporting a profit before tax (PBT) of ₦79.3 billion, representing a 23% year-on-year growth. The performance was driven largely by strong growth in net interest income and improved asset yields.
Revenue Performance
Gross revenue for the period rose by 41.3% year-on-year to ₦529.2 billion, up from ₦374.5 billion in H1 2024. This increase was mainly supported by a 70.3% surge in interest income. However, non-interest income declined by 35.1%, impacted by a ₦36.6 billion drop in currency revaluation gains compared to the same period last year.
Net interest income nearly doubled, rising from ₦106.2 billion to ₦207.4 billion. Yield on earning assets improved to 20.2%, while net interest margin rose to 9.1%, up from 6.3% in FY 2024.
Digital and Business Segment Growth
The Group’s digital business comprising payments, lending, and wealth services continued its growth trajectory. Digital revenues rose by 60% year-on-year, from ₦46 billion to ₦73.6 billion, now accounting for 13.9% of total earnings.
Across business segments:
- Consumer Finance PBT grew by 54.5%
- Banking Group PBT grew by 41.3%
- Investment Management PBT increased by 10%
- Investment Banking declined by 48.9%, due to a one-off divestment gain in the prior year
The Banking Group contributed 82% to total Group PBT, followed by Consumer Finance (11.6%), Investment Management (4.8%), and Investment Banking (1.4%).
Cost and Risk Metrics
Operating expenses rose by 46.1% to ₦153.2 billion, driven by higher personnel, regulatory, and technology costs, as well as inflation. Despite this, the cost-to-income ratio improved to 57%, down from 59.9% in 2024.
Net impairment losses on financial assets increased significantly to ₦36.2 billion, following the banking subsidiary’s exit from the Central Bank of Nigeria’s loan forbearance programme. This pushed the cost of risk to 2.8%, up from 1.8% in the previous year.
Profit After Tax stood at ₦73.4 billion, reflecting a 23% year-on-year increase.
Balance Sheet Highlights
- Total assets grew by 6.9% to ₦7.54 trillion
- Loans and advances increased by 1.1% to ₦2.38 trillion, impacted by currency effects and loan paydowns
- Customer deposits rose by 5.6% to ₦4.55 trillion, with low-cost deposits now making up 69.3%, up from 57.5% at FY 2024
- Assets under management grew by 15.5% to ₦1.58 trillion
In Investment Banking, the Group raised ₦2.97 trillion for clients—a more than 600% increase year-on-year—through advisory and capital market transactions.
Capital and Efficiency Improvements
The Group reported improved balance sheet efficiency, with reduced funding costs and enhanced capital deployment. Net interest margin rose from 7.9% in Q1 to 10.1% in Q2, contributing to the 9.1% half-year margin. Management expressed confidence in exceeding its full-year NIM guidance.
Following a successful ₦144.6 billion capital raise in 2024, the Central Bank of Nigeria completed verification of the programme’s second phase a ₦22.5 billion mandatory convertible note. This will increase FCMB’s issued shares to approximately 42.8 billion, supporting its target of meeting the new minimum capital requirement for retaining an international banking license.
