FCMB Group Plc recorded a remarkable financial performance in the 2025 financial year, with profit before tax rising sharply to N202.1 billion, reflecting the strength of its core banking operations and the impact of higher interest earnings across its businesses.
The financial services group, in its audited results for the year ended December 31, 2025, reported an 80.6 per cent increase in profit before tax compared to the N111.9 billion posted in 2024. The performance marks one of the strongest earnings outings in the company's recent history and underscores its ability to navigate a challenging operating environment.
A major driver of the growth was the significant expansion in interest income, which exceeded the N1 trillion threshold for the first time since the group's inception. According to the audited financial statements released on Monday, interest income surged by 61.7 per cent to N1.01 trillion, up from N621.7 billion recorded in the previous year.
The impressive earnings performance also translated into stronger returns for shareholders. Profit after tax climbed to N177.3 billion from N73.3 billion in 2024, while gross earnings increased by 42.5 per cent to N1.13 trillion.
Buoyed by the robust results, the Board of Directors has proposed a dividend of 35 kobo per share, amounting to a total payout of N23.08 billion. The proposed dividend remains subject to shareholders' approval at the group's upcoming Annual General Meeting.
An analysis of the financial statements filed on the Nigerian Exchange showed that interest income accounted for nearly 89 per cent of FCMB Group's total gross earnings during the year, highlighting the critical role of lending activities and investment returns in driving profitability.
Income generated from loans and advances to customers remained the largest contributor to earnings, bringing in N611.6 billion and representing approximately 61 per cent of total interest income. The group also enjoyed significantly improved returns from its liquid assets, as interest income from cash and cash equivalents soared to N145.3 billion, compared with N12.8 billion recorded a year earlier.
The increase in earnings outpaced the growth in funding costs, resulting in a substantial improvement in net interest income. Net interest income more than doubled to N505.9 billion from N225.3 billion in 2024, demonstrating stronger margins and enhanced income generation across the group's operations.
Beyond interest-based revenues, FCMB also recorded notable growth in fee-generating activities. Net fee and commission income rose by 30.4 per cent to N76.7 billion, reflecting increased transaction volumes and stronger customer activity across its banking and financial services platforms.
Despite the strong performance, the group faced higher risk management costs during the period. Impairment charges almost doubled to N81.7 billion from N41.2 billion in the preceding year, reflecting increased provisions for potential credit losses amid prevailing economic uncertainties.
Operating expenses also rose across key cost categories, including personnel expenses, administrative costs and other operating expenditures, as businesses grappled with inflationary pressures and the rising cost of operations.
Nevertheless, FCMB's earnings momentum remained intact. Operating profit grew by 79.2 per cent to N200.9 billion, underlining the resilience of its business model and the effectiveness of its growth strategy.
The group's balance sheet also strengthened during the year. Total assets expanded by 8.2 per cent to N7.63 trillion, compared with N7.05 trillion in 2024. Customer deposits increased to N4.42 trillion, reinforcing confidence in the institution and providing a solid funding base for future growth.
Investment securities recorded a significant jump, rising to N2.04 trillion from N1.19 trillion, while shareholders' funds increased by 21.4 per cent to N835.4 billion, supported by stronger earnings and the accumulation of reserves.
The 2025 results reinforce FCMB Group's position among Nigeria's leading financial services institutions, with the milestone N1 trillion interest income and record profitability highlighting the group's expanding earnings capacity and growing financial strength.