FCMB Revenue Declines; Profit Drops 22% to ₦7.6Billion in H1 2021

Brand Spur

3 years ago

FCMB Group Plc earns N8.9 billion in Profit Before Tax for HY 2021 while Profit after tax (PAT) of ₦7.6 billion, for the first half of 2021, dropped 22% Year-on-Year.
An increase in the cost of funds, led to a 5% year on year drop in net interest income from ₦45.4 billion, for the first half of 2020, to ₦43.0 billion for the first half of 2021.
Non-interest income of ₦17.9 billion, for the six months ended June 2021, rose 2% Year-on-Year from ₦17.5 billion for the same period the prior year.
Fees and Commissions income increased 33.5% Year-on-Year, as a result of an increase in customers’ transacting activities. However, this increase was muted by a 32.8% Year-on-Year drop in trading income, caused by lower volumes of fixed income instrument trades during the quarter. There was also a non-recurrence, in HY21, of the level of FX revaluation income seen in HY20.

Operating expenses rose 9% Year-on-Year to ₦48.0 billion in the first half of 2021, largely due to increased regulatory costs.
Net impairment loss on financial assets decreased by 48% Year-on-Year to ₦4.0 billion, for the six months ended June 2021, from ₦7.7 billion for the same period the prior year.

Loans and advances grew, 15% Year-on-Year and 3% Quarter-on-Quarter to ₦916.7 billion in June 2021.
Total assets increased 14% Year-on-Year and 4% Quarter-on-Quarter to ₦2.24 trillion in June 2021.
Customer deposits rose by 21% Year-on-Year and 1% Quarter-on-Quarter to ₦1.3 trillion in June 2021.
Assets Under Management grew by 10% Year-on-Year to ₦500.0 billion in June 2021.