FCMB Group Reports ₦79.3 Billion Profit Before Tax for H1 2025
- Business
- 02.08.2025
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FCMB Group Reports ₦79.3 Billion Profit Before Tax for H1 2025
FCMB Group Plc (“FCMB Group“) has announced its unaudited financial results for the six months ended June 30, 2025. The Group reported a ₦79.3 billion profit before tax (PBT), representing a 23% year-on-year increase, driven primarily by improved net interest income and asset yields.
Gross revenue for the period rose to ₦529.2 billion, reflecting a 41.3% year-on-year increase from ₦374.5 billion recorded in H1 2024, supported mainly by a 70.3% growth in interest income. However, non-interest income declined by 35.1% due to a ₦36.6 billion drop in currency revaluation gains compared to last year.
Net interest income almost doubled, rising from ₦106.2 billion in 2024 to ₦207.4 billion by June 2025. The yield on earning assets improved to 20.2%, leading to a net interest margin of 9.1%, up from 6.3% in FY 2024.
The Group’s digital business—including payments, lending, and wealth services—grew strongly. Digital revenues increased by 60% year-on-year, rising from ₦46 billion in June 2024 to ₦73.6 billion in June 2025. Digital services now account for 13.9% of total earnings.
Operating expenses rose by 46.1% to ₦153.2 billion, driven by higher personnel costs, regulatory expenses, technology costs, and inflation. Despite this, the cost-to-income ratio improved to 57%, compared to 59.9% at the end of 2024.
Net impairment losses on financial assets grew to ₦36.2 billion on a quarterly basis after the Group’s banking subsidiary exited the Central Bank of Nigeria’s loan forbearance programme. This increased the cost of risk to 2.8%, up from 1.8% in FY 2024.
After-tax profit increased by 23% year-on-year, closing at ₦73.4 billion.
Each business division contributed to overall performance:
- Consumer Finance: PBT growth of 54.5%
- Banking Group: PBT growth of 41.3%
- Investment Management: growth of 10%
- Investment Banking: 48.9% decline due to a one-time divestment gain in 2024
In terms of PBT contribution to the Group:
- Banking Group: 82%
- Consumer Finance: 11.6%
- Investment Management: 4.8%
- Investment Banking: 1.4%
The Group’s balance sheet showed improvement:
- Total assets: rose by 6.9% to ₦7.54 trillion
- Loans and advances: up 1.1% to ₦2.38 trillion
- Customer deposits: up 5.6% to ₦4.55 trillion
- Low-cost deposits: now 69.3% of total, up from 57.5%
Assets under management increased by 15.5% to ₦1.58 trillion, up from ₦1.37 trillion in December 2024.
Investment banking services recorded a surge in capital raised for clients—up by over 600% year-on-year to ₦2.97 trillion.
Balance sheet efficiency improved due to a better deposit mix and effective deployment of newly raised capital. The net interest margin rose from 7.9% in Q1 to 10.1% in Q2 2025, contributing to the 9.1% H1 margin. Management expressed optimism about exceeding full-year NIM targets.
Following its ₦144.6 billion capital raise in 2024, FCMB confirmed that the CBN has verified the second phase—₦22.5 billion in mandatory convertible notes, increasing issued shares to approximately 42.8 billion. Further phases of the capital programme are ongoing to meet the new minimum capital requirement for retaining its international banking license.
FCMB Group remains focused on boosting operational efficiency, expanding its digital and retail business, and sustaining its earnings growth through the rest of the year.
FCMB Group Plc, one of Nigeria’s leading financial institutions, has announced a remarkable ₦79.3 billion profit before tax for the first half (H1) of 2025, marking a significant growth from the ₦39.6 billion recorded in the corresponding period of 2024.
Strong Revenue Growth and Improved Margins
According to the company’s unaudited financial statement released on the Nigerian Exchange Group (NGX), gross earnings for the period rose to ₦207.6 billion, representing a 45% increase compared to ₦143.1 billion in H1 2024.
Net interest income grew significantly, driven by higher yields on interest-earning assets and efficient cost management. Non-interest income also saw a notable boost, with increased revenues from digital banking services, asset management fees, and FX-related transactions.
Strategic Focus Paying Off
Group Managing Director of FCMB Group Plc, Ladi Balogun, attributed the performance to a strategic focus on customer-centric innovation, digital transformation, and efficient capital deployment.
“Our diversified business model continues to deliver strong and sustainable results. We remain committed to delivering superior value to our shareholders while deepening our support for customers and communities,” Balogun stated.
Impressive Subsidiary Contributions
FCMB’s commercial banking arm remained the major revenue contributor, supported by steady loan book expansion and increased transaction volume. The asset and wealth management division also recorded positive growth, benefitting from increased investor confidence and improved market conditions.
The Group’s investment banking and advisory services arm continued to thrive, securing key deals across sectors and supporting major infrastructure projects across Nigeria and West Africa.
Shareholder Confidence and Outlook
With earnings per share (EPS) doubling to ₦3.22 from ₦1.61, shareholders are optimistic about potential dividend declarations at year-end. The Group’s total assets also increased by 26% to ₦4.3 trillion, while customer deposits grew steadily to ₦2.8 trillion.
FCMB says it remains optimistic for the remainder of 2025, targeting growth through digital innovation, expanded financial inclusion, and sustainable finance solutions. The company has also hinted at deepening its fintech partnerships to enhance service delivery.
As one of Nigeria’s fastest-growing financial groups, FCMB’s H1 2025 result reaffirms its position as a key player in shaping the future of banking and investment in Africa.
