The digital business of the FCMB Group continued to record strong growth, with digital revenues growing by 69.2 per cent from N60.3bn to N101.9bn at the end of the 2024 financial year.
This was revealed in its audited financial results for the full year ended December 31, 2024, filed with the Nigerian Exchange Limited on Friday.
In the period under review, FCMB Group also championed the course of SMEs as it disbursed over N350bn in retail and SME loans through its digital channels.
In a statement accompanying the audited report, part of which read, “FCMB Group’s digital business continued to record strong growth, with digital revenues growing by 69.2 per cent from N60.3bn to N101.9bn as of December 2024. Over 1.6 million retail loans worth N148.8bn and more than 18,000 SME loans totalling N208.2bn were disbursed through digital channels. Assets Under Management in digital wealth management rose to N22.4bn as of December 2024, up from N15.1bn in the prior year.”
According to its audited report, FCMB Group Plc reported a profit before tax of N111.9bn, indicating a 7.1 per cent year-on-year increase. Also, the group recorded a 53.9 per cent increase in gross revenue at the end of December 2024, reaching N794.4bn, driven by a 75.2 per cent growth in interest income and an 8.7 per cent increase in non-interest income. Net interest income grew by 27.6 per cent to N225.3bn, supported by improved yields on earning assets, despite a decline in net interest margin due to higher funding costs.
Customer deposits also grew by 39.4 per cent to N4.30 N4.30 tn from N3.08 tn in the preceding year, indicating that confidence in FCMB remained strong.
Commenting on the performance, the Group Chief Executive of FCMB Group Plc, Ladi Balogun, said, the financial institution was targeting higher earnings per share in the current financial year.
He said, “Overall, we anticipate significant earnings per share growth in full-year 2025, underpinned by a continued momentum in our non-banking businesses, a stronger balance sheet, digital transformation, and strategic market positioning.”
To achieve the feat, the financial institution said that it will be optimising net interest margins through a stronger capital position, expanding digitally enabled payments and collections solutions to achieve low-cost deposit funding and deeper engagement in premium retail and institutional banking.
“Consumer finance is expected to maintain its strong momentum, supported by digital innovation and new product offerings, while investment banking aims to capitalise on increased capital market activities. Investment management is expected to continue its steady growth,” the statement read.
The Group’s Consumer Finance division recorded an 83.5 per cent increase in profit before tax, while Investment Management delivered a 27.9 per cent growth.
The Banking Group, which contributed 69.5 per cent of the Group’s PBT, recorded a 7.7 per cent year-on-year decline due to lower net interest margins and a decline in other gains, whilst Investment Banking declined by 35 per cent, reflecting the impact of a one-time divestment gain recorded in 2023.
On its balance sheet, FCMB Group’s total assets grew by 59.5 per cent year-on-year to N7.05tn from N4.42tn in the prior year. Additionally, the Group’s loans and advances increased by 28 per cent to N2.36tn, while Assets Under Management across the Investment Management division grew by 35 per cent to N1.37tn at the end of December 2024.
On its recapitalisation programme, FCMB Group successfully raised N144.6bn through a public offer, securing the national banking licence of its banking subsidiary. Further, capital-raising plans are underway to meet the Central Bank of Nigeria’s minimum capital requirement for an international banking licence.