FCMB Group Plc has reported a remarkable turnaround in its financial performance for the year ended December 31, 2025, posting a pre-tax profit of N200.91 billion, a sharp 80% rise from the N111.9 billion recorded in 2024. The Group’s results were driven by robust growth in interest income and strong revenue generation across its core banking operations, marking a significant improvement in both scale and profitability.
The bank’s gross earnings surged to N1.13 trillion, up 41.8% year-on-year, as FCMB benefitted from higher lending volumes and improved yields. Interest income, the backbone of the Group’s revenue, climbed by 61.2% to N1.00 trillion, contributing nearly 89% of total gross earnings. This performance reflected both volume expansion and rate enhancements, particularly in loans and advances to customers, which increased by 41.1% and remained the largest contributor to interest income at 61%, while investment securities added 25%.
Net interest income recorded an even stronger gain, rising 122% to N502.89 billion, underlining the bank’s improved efficiency in converting funding into profitable lending. Interest expenses also rose, but at a more moderate pace of 26% to N499.23 billion, driven mainly by customer deposits, which accounted for 70.5% of the cost of funds, while borrowings and debt securities made up the remaining 29.5%. The wider spread between interest income and interest expense underpinned the steep rise in net interest income, signaling a more disciplined management of funding costs.
While the Group’s core income grew strongly, FCMB also faced heightened credit risk pressures. Net impairment losses on financial instruments jumped 108.7% to N86 billion, consuming 17.1% of net interest income and highlighting an elevated risk environment that required higher provisions for non-performing assets. Despite this, operating profit still rose to N200.15 billion, up 78.7%, reflecting strong underlying momentum.
On the non-interest income front, fee and commission income rose 29% to N95.97 billion, supported by increased transactional and advisory activity, while net trading income fell 27.3% to N39.21 billion. The growth in fees helped diversify revenue streams and reduce the Group’s reliance on interest income.
FCMB’s balance sheet also strengthened during the year, with total assets rising 6.9% to N7.54 trillion and customer deposits increasing 2.5% to N4.40 trillion, representing 58.3% of total assets and reflecting a stable funding base. Loans and advances to customers were slightly lower year-on-year, down 2.8% to N2.29 trillion, but the overall asset base expanded on the back of improved asset quality management and strategic portfolio adjustments. Equity grew by 19.5% to N823.42 billion, reinforcing the Group’s capital position and capacity to support future growth.
Profit after tax surged to N176.91 billion, up 141.7% from N73.34 billion in 2024, meaning FCMB not only met but exceeded its profit guidance for the year. The bank had projected a full-year profit after tax of N171.5 billion, based on a fourth-quarter forecast of N58.8 billion, but ultimately delivered a stronger outcome.
In the market, FCMB’s share price closed at N12.09 on the last trading day of 2025, representing a 28% gain from the start of the year. However, the stock has since retreated, closing at N11.05 today, down 3.73% year-to-date. The Group’s market capitalization stands at N496 billion, still below its net asset value of N823.42 billion, suggesting a valuation gap that may present upside if performance momentum continues.
Overall, FCMB’s 2025 results reflect a powerful rebound in earnings, driven by strong interest income growth and disciplined cost management, even as credit risk pressures rose. The Group appears well positioned for continued expansion, supported by a strengthened capital base and improving profitability.