FCMB Group Plc (NGX: FCMB) has released its audited financial results for the year ended December 31, 2024, reporting a profit before tax (PBT) of N111.9 billion, reflecting a 7.1% increase compared to the previous year.
The Group’s gross revenue surged by 53.9% year-on-year to N794.4 billion in December 2024, driven by a 75.2% rise in interest income and an 8.7% growth in non-interest income. Net interest income increased by 27.6% to N225.3 billion, supported by better yields on earning assets, though net interest margin decreased due to higher funding costs.
FCMB’s digital business saw robust growth, with digital revenues climbing by 69.2% from N60.3 billion to N101.9 billion by the end of 2024. The Group also disbursed over 1.6 million retail loans worth N148.8 billion and more than 18,000 SME loans totaling N208.2 billion via digital platforms. Assets Under Management (AUM) in digital wealth management rose to N22.4 billion, up from N15.1 billion the previous year.
Customer trust in FCMB remained strong, with deposits increasing by 39.4% year-on-year to N4.30 trillion by December 2024, up from N3.08 trillion the year before. The Group’s total assets grew by 59.5% to N7.05 trillion, while loans and advances rose by 28% to N2.36 trillion. AUM in the Investment Management division grew by 35% to N1.37 trillion.
FCMB Group’s Group Chief Executive, Ladi Balogun, commented on the results, stating that the Group expects significant earnings growth in 2025, driven by continued growth in non-banking sectors, a stronger balance sheet, digital transformation, and strategic market positioning.
As part of its recapitalization efforts, FCMB raised N144.6 billion through a public offer, securing a National Banking License for its banking subsidiary. Further capital-raising initiatives are planned to meet the Central Bank of Nigeria’s minimum capital requirement for an international banking license.
The banking division, contributing 69.5% of the Group’s PBT, saw a 7.7% year-on-year decline due to lower net interest margins and reduced other gains, while Investment Banking declined by 35%, reflecting the impact of a one-time divestment gain recorded in 2023. However, the Group’s Consumer Finance division posted an 83.5% increase in PBT, and Investment Management saw a 27.9% growth.
Looking ahead to 2025, the bank aims to drive earnings growth by optimizing net interest margins, expanding digital payments and collections solutions for low-cost deposit funding, and deepening engagement in premium retail and institutional banking. Consumer Finance is expected to maintain its momentum, bolstered by digital innovation and new products, while Investment Banking aims to benefit from increased capital market activities. Investment Management is expected to continue its steady growth.