First City Monument Bank Plc on Wednesday announced gross revenue earnings of N35.86bn for the nine months period ended 31 January 2008. This represents 104 per cent rise from N17.54bn recorded in the prior year period.

Ladi Balogun, FCMB MD

The results show that profit before taxation and after tax profit both climbed by 154 per cent from N4.43bn to N11. 24bn, and from N3.54bn to N8.89bn respectively within the period. This translates into a net operating margin of 31 per cent, the highest in the industry so far, a bank statement on Wednesday said.

Commenting on the result, the bank’s Managing Director/Chief Executive Officer, Mr. Ladi Balogun said, “So far, this financial year has proved an historic year for FCMB despite the dilution effects of our successful public offer in November. These figures pay testimony to the quality and dedication our people to set standards in Nigeria banking industry by bringing innovative banking products to Nigeria’s corporations and individuals. We anticipate even more accomplishments in 2008.”

The bank’s earnings per share to increased by 46 per cent to 54.87 kobo, up from 37.5 kobo a year ago.
This is despite an increase in the shareholder’s equity to N38.9bn from N29.77bn in the prior year period. Based on the company’s forecasts, which management believes will be surpassed, it is expected that by the fourth quarter, earnings per share will rise close to N1.00 per share in spite of the enlarged post offer share capital, the bank said.

Balogun added, “As we enter 2008, we are continuing to maintain our industry-leading growth and expect another very good year. As a banking group we will continue to build on our leadership in corporate finance activities. In addition we expect 2008 to mark the beginning of several new earnings streams for FCMB as our consumer banking business reaches breakeven point to be followed by geometric earnings growth.

“Coupled with this will be the impact of the consolidation of City Securities Limited into Group accounts. Indeed with these developments and a capital base now well in excess of N120bn, FCMB has entered a new realm in the scale of our operations, one in which all stakeholders will benefit.”