FCMB delivers record earnings as half-year profit hits ₦157.3bn

FCMB Group Plc sustained its strong earnings momentum in the first half of 2026, reporting a 99 per cent year-on-year surge in profit before tax to ₦157.3 billion, driven by robust performance across its banking and non-banking businesses, improved asset quality and continued balance sheet expansion.

The unaudited results for the six months ended June 30, 2026, released on the Nigerian Exchange Limited (NGX), showed that profit before tax nearly doubled from ₦79.1 billion recorded in the corresponding period of 2025.

The financial services group recorded profit growth across all its business divisions, with Consumer Finance posting a 92 per cent increase, Banking Group 80 per cent, Investment Banking 76 per cent and Investment Management 50 per cent.

Gross earnings rose by 27.8 per cent to ₦676.2 billion from ₦529.2 billion a year earlier, supported by a 31 per cent increase in interest income and a 22 per cent growth in earning assets, which expanded from ₦4.90 trillion to ₦5.98 trillion.

The Group also reported stronger returns for shareholders, with annualised earnings per share rising to ₦4.23, despite an enlarged share capital following its recapitalisation exercise.

Commenting on the performance, FCMB Group Chief Executive, Ladi Balogun, attributed the record earnings to the strength of the Group’s recapitalised and diversified business model.

“Our first-half performance demonstrates the strength of our recapitalised and diversified business model. We delivered record profitability despite accelerating the normalisation of asset quality towards regulatory thresholds, reflecting our commitment to building a stronger balance sheet for long-term growth,” he said.

Balogun added that stronger net interest margins, an improved low-cost deposit base, disciplined cost management and increasing contributions from the Group’s non-banking subsidiaries had enhanced the quality and sustainability of earnings.

He expressed confidence that the Group remains on course to achieve a return on equity of more than 25 per cent for the 2026 financial year.

FCMB’s digital business, comprising payments, lending and wealth management, also maintained strong growth, with revenue increasing to ₦89.1 billion from ₦73.6 billion in the corresponding period of last year, accounting for 13.2 per cent of the Group’s gross earnings.

The Group’s balance sheet remained resilient during the period, with total assets growing by 9.5 per cent to ₦8.36 trillion, while customer loans increased by 5.2 per cent to ₦2.49 trillion, driven largely by retail, SME, consumer and foreign currency lending.

Customer deposits rose by 11.4 per cent to ₦4.92 trillion, while the proportion of low-cost deposits improved to 74.9 per cent, contributing to a 2.7 per cent decline in interest expenses.

Total shareholders’ equity climbed by 40.3 per cent to ₦1.17 trillion, supported by retained earnings and an additional capital injection of about ₦227 billion during the second quarter, lifting the Group’s Capital Adequacy Ratio to 23.5 per cent.

FCMB Group also reported a 14.3 per cent increase in assets under management to ₦1.95 trillion, reflecting continued market share gains by its pensions and asset management businesses.

The Group’s non-banking subsidiaries emerged as a major earnings driver, contributing 26 per cent of total profit before tax after recording a 185 per cent year-on-year increase in profit to ₦40.7 billion, underscoring FCMB’s strategy of diversifying income beyond traditional banking operations.