FCMB Group Plc delivered a substantial rise in gross earnings and interest income for the nine months ended 30 September 2025, but sharp losses from foreign exchange dealings and weaker non-interest performance significantly moderated overall profit growth compared to the same period in 2024.
Gross earnings rose sharply to N828.13 billion, up from N587.77 billion reported in the corresponding period of 2024 to reflect stronger volumes across earning assets and improved pricing conditions in the interest income segment.
Interest and discount income grew by 65% from N445.79 billion to N734.11 billion, while net interest income expanded to N350.83 billion, more than double the N173.80 billion recorded in the prior year.
Fee and commission income also improved to N70.76 billion, compared with N51.85 billion in 2024. FCMB Group delivered a total net fee and commission income of N56.19 billion, up from N41.46 billion.
Foreign Exchange Losses Drive Sharp Decline in Non-Interest Income
Despite the strong interest income performance, FCMB Group’s non-interest revenue took a major hit in 2025 due to substantial foreign exchange losses.
In 2024, the Group recorded N39.32 billion in gains under “Other (losses)/gains.”
However, in 2025, this line item swung sharply to a loss of N14.92 billion, representing a negative year-on-year movement of N54.24 billion.
This reversal was primarily driven by:
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Losses from foreign currency translation
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Increased volatility in the FX market
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Reduced gains from revaluation of foreign currency positions
The steep FX-related loss effectively erased gains from trading activities and reduced the Group’s total non-interest income by 74.9% year-on-year to N22.33 billion compared with N89.17 billion recorded in 2024.
Net trading income also dropped to N37.26 billion from N49.85 billion in 2024, compounding the pressure on earnings quality.
The decline was further aggravated by the absence of intra-group revenue in 2025 (down from N7.25 billion previously), reinforcing the drag on non-interest performance.
Rising Costs Further Pressure Operating Profit
Operating expenses increased across major cost categories:
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Personnel expenses: N71.87 billion (2024: N56.54 billion)
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General & administrative expenses: N95.38 billion (2024: N62.24 billion)
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Other operating expenses: N59.21 billion (2024: N40.25 billion)
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Depreciation and amortisation: N12.49 billion (2024: N10.10 billion)
Credit impairment charges also rose to N57.12 billion, from N44.43 billion, reflecting heightened credit risk pressures in the loan book.
These rising expenses, combined with FX-driven revenue volatility, slowed the Group’s operating momentum.
Profit Before Tax Improves, But FX Losses Compress Margins
FCMB Group reported a profit before tax of N134.50 billion, up from N91.83 billion recorded in 2024. However, the strong growth in topline revenue did not translate into corresponding margins due to the impact of FX losses and higher operating costs.
Profit for the period stood at N125.45 billion, compared with N82.39 billion in 2024.
Despite the growth in absolute profit, earnings per share declined to N3.91 from the stronger N5.55 recorded in the prior year.
On a broader measure, total comprehensive income fell to N116.10 billion, down from N142.57 billion in 2024, driven largely by:
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Negative fair value adjustments
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Foreign currency translation losses
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Lower other comprehensive income contributions
Summary: Strong Revenue Growth Overshadowed by FX Losses
FCMB Group Plc’s Q3 2025 performance reflects a mixed picture:
Positive Indicators
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Strong growth in gross earnings
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Major expansion in interest and discount income
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Better fee and commission performance
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Improved pre-tax profit in absolute terms
Major Pressure Points
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N54.24 billion year-on-year negative swing in foreign exchange gains/losses
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Collapse in non-interest income (down nearly 75%)
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Rising operating costs across board
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Decline in EPS despite higher net profit
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Weaker comprehensive income
Overall, FCMB Group Plc delivered strong revenue momentum but faced significant profitability headwinds due to FX volatility and elevated cost pressures.
The results underscore the Group’s heightened exposure to foreign exchange movements and the need for stronger non-interest revenue diversification in subsequent reporting periods.