FCMB beats earnings forecast as gross earnings hit N252.69 billion in Q1 2025 

One of the key highlights of the result was gross earnings, which surpassed the bank’s internal forecast.

FCMB posted gross earnings of N252.69 billion, beating its Q1 2025 projection of N239.39 billion by 5.6%.

This figure also represents a robust 41.41% increase compared to Q1 2024, primarily driven by a surge in interest income.

Strong core banking performance anchors FCMB’s Q1 2025 growth

With interest income serving as the primary driver of FCMB Group’s earnings in Q1 2025, the results highlight the bank’s strength in its core banking operations, particularly through lending and strategic investment activities.

Interest income from loans and advances to customers rose sharply by 63.89% year-on-year to N150.30 billion, accounting for 70% of total interest income.

Impressively, this already represents about 35% of the bank’s total interest income for the full year 2024, suggesting that FCMB is firmly on track to outperform its prior-year performance.

In addition, interest income from investment securities nearly doubled to N60.35 billion, contributing 28.15% to overall interest income.

Beyond interest income, FCMB also recorded a strong showing in its non-interest income segment:

On the expense side, FCMB faced significant pressure from the elevated interest rate environment, which reflected the CBN’s tight monetary policy stance.

Interest expenses on customer deposits surged by over 81% to N126.87 billion in Q1 2025.

This figure represents more than 31% of the bank’s total interest expenses for the full year 2024 and accounts for over 59% of its interest income for the quarter, highlighting the growing cost of funding.

The Group’s total assets continued to be driven by deposits.  Total deposit accounts for over 70% of the balance sheet size, while shareholders’ funds reached N730.972 billion, constituting 9.87% of total assets, comprising:

Despite the strong financial results, FCMB’s share price performance has remained underwhelming.

The stock closed at N8.95 on April 29, 2025, marking a 4.79% year-to-date loss.

The stock closed at N8.95 on April 29, 2025, marking a 4.79% year-to-date loss.