Global Courant 2023-05-15 20:26:03
FCMB Group Plc has its financial results for the first quarter of 2023, demonstrating the continued success of its digital banking initiatives across business segments.
Digital banking initiatives have gained significant traction within the FCMB Group, contributing to its overall performance. In the first quarter, digital revenues accounted for 12.0% of gross profit, equivalent to N10.0 billion. This substantial growth underscores the Group’s commitment to leveraging digital solutions to improve customer experiences and drive financial inclusion.
The impact of digitization was clearly visible in the different business lines of FCMB Group. In terms of interest income, digital revenue accounted for 8.0% (₦5.2 billion), reflecting increasing customer adoption of digital banking services. In addition, digital initiatives contributed 6.4% (₦76.3 billion) to the loan portfolio, demonstrating the Group’s focus on digital lending solutions.
In addition, digital channels accounted for 7.0% (₦10.0 billion) of assets under management (AUM) in the group’s asset management business, reflecting the strength of its digital investment platforms.
Commenting on the results, the Group Chief Executive said, Mr. Ladi Balogun, said: “We continue to leverage our unique group structure to build a technology-driven ecosystem that promotes inclusive and sustainable growth in the communities we serve. This strategy enables us to deliver robust performance despite the challenging domestic and global environment. Barring unforeseen circumstances, we believe that our growth trend will continue and be accompanied by improved efficiency as a result of scaling up and ongoing digitization.”
Notably, FCMB Group achieved a significant increase in gross sales of 50% during the reporting period. Gross sales increased to N87.4 billion compared to N58.3 billion in the corresponding period of the previous year. This growth was driven by a substantial 41.4% increase in interest income and an impressive 84.2% increase in non-interest income. These results underline the FCMB Group’s ability to generate significant revenues across its various business units.
In addition, FCMB Group witnessed a substantial increase in total assets of 25.1% year-on-year, reaching an impressive N3.1 trillion by the end of the first quarter of 2023. This growth underscores the Group’s ability to effectively grow its asset base manage and expand. , positioning it for further success in the rapidly evolving financial services landscape.
The Group also acquired 500,000 new customers and increased its customer base to 11.4 million. This growth reflects the Group’s commitment to providing exceptional financial services and its ability to attract and retain a large and loyal customer base.
It also recorded an impressive 78 percent increase in pre-tax profit, with N10.7 billion versus N6 billion in the corresponding period of 2022. The banking group, consumer finance, investment management and investment banking segments also posted remarkable growth of 108.8 per month respectively. 6.1 percent, 47.0 percent and 18.2 percent.
The Group’s Investment Management business also posted remarkable growth, with Assets Under Management (AUM) up 16.5% year-on-year. FCMB Group assets under management reached an impressive N830 billion by the end of the first quarter of 2023, highlighting the group’s expertise in managing investments and generating value for its clients.
FCMB Group is listed on the Nigerian Exchange Group (NGX) and serves more than 11 million customers across four platforms: banking, consumer finance, investment management and investment banking.
