Profit after tax also rose by 69% to N15.2 billion as against N4.8 billion prior year. Following these, the financial institution has recommended a dividend of 10 kobo per share to shareholders.
FCMB Group which is the holding company of First City Monument Bank (FCMB) Limited, FCMB Capital Markets Limited, CSL Stockbrokers Limited and CSL Trustees Limited, also reported a number of appreciable growths in key operating areas going by the audited results. Gross revenue as at the end of December 2016 was up by 16% to N176.3 billion from N152.5 billion in the previous year.
This was in spite of the challenging macroeconomic environment and other regulatory factors.
Non-interest income grew to N47.7 billion, an 86% Year-on-Year (YoY) increase, as against N25.6 billion in 2015.
This was mainly driven by N29.3 billion in foreign exchange revaluation gains.
Consistent with its value as a helpful financial institution committed to the growth of individual and business aspirations, the FCMB Group results showed an increase in credits advanced to customers last year. Loans and advances rose by 11% from N593 billion in 2015 to N660 billion in 2016, thereby improving the Group’s earning capacity.
Total assets increased marginally by 1% from N1.16 trillion to N1.17trillion.
In addition, operating expenses decreased by 2% to N65.8 billion, just as non-performing loans to total loans ratio declined from 4.2% in 2015 to 3.7% in 2016. The also Group maintained a robust capital base, with capital adequacy ratio of 18.1%, which is above the banking industry’s minimum ratio of 15%. However, customer deposits reduced to N658 billion from N700 billion.
First City Monument Bank (FCMB) Limited, the flagship of FCMB Group Plc and the commercial and retail banking arm of the holding company, continues to improve the soundness of its balance sheet, credit standing and other indices of performance.
The financial results show that the bank’s net interest income grew by 9% (YoY) from N62.8 billion to N68.6 billion. This was on account of a 7% reduction in the Bank’s interest expense.