In 2025, FCMB Group Plc improved its asset quality, bringing down its non-performing loans (NPL) ratio to 5.09 per cent from 5.95 per cent in 2024, even while making bigger provisions for possible credit losses in a tough operating climate.
The Group’s audited financial statements for the year ended December 31, 2025, show that total non-performing loans dropped to ₦125.95 billion from ₦147.98 billion the previous year, thanks to stronger loan recovery efforts and better credit risk management.
Net impairment losses on financial instruments almost doubled, jumping by 98.12 per cent to ₦81.71 billion from ₦41.24 billion in 2024. This rise in provisions came even with fewer bad loans, hinting at a more cautious approach to forecasting future credit risks under the Expected Credit Loss (ECL) framework.
The higher impairment charges moderated the impact of an otherwise strong earnings performance, as FCMB Group reported a profit after tax of ₦177.27 billion, representing a 141.7 per cent increase from ₦73.34 billion in the previous year.
The Group’s gross earnings rose by 42.46 per cent to ₦1.13 trillion, driven by strong growth in interest income, which surged by 61.68 per cent to ₦1.01 trillion. The increase reflected the benefits of higher market yields and expansion in earning assets during the period.
Net interest income climbed by 124.55 per cent to ₦505.91 billion, supported by improved asset pricing and stronger earnings from lending activities. Non-interest revenue also remained resilient, with net fee and commission income increasing by 30.37 per cent to ₦76.65 billion.
Operating profit advanced by 79.19 per cent to ₦200.91 billion, while earnings per share rose by 67.65 per cent to ₦3.99, compared with ₦2.38 recorded in 2024.
On the balance sheet, total assets grew by 8.18 per cent to ₦7.63 trillion, while customer deposits increased by 2.84 per cent to ₦4.42 trillion. Shareholders’ funds expanded by 21.40 per cent to ₦835.43 billion, reflecting stronger retained earnings and enhanced capital position.
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