FBN Holdings Plc has reported a 142% year-on-year increase in Profit Before Tax (PBT) to N862 billion, with Gross Earnings rising by 113% year-on-year to N3.33 trillion for the year ending December 31, 2024.

Net Interest Income grew by 155% year-on-year to N1.39 trillion. Non-interest income increased by 43.3% to N846.9 billion, compared to N255.8 billion in 2023. Loans to customers rose significantly by N2.797 trillion, closing at N9.4 trillion. Customer deposits increased by 62% to N17.29 trillion. Total Assets grew to N26.54 trillion, up from N16.94 trillion.

It is noteworthy that without the impairment charge of N411 billion, the PBT would have been N1.3 trillion. The group also recorded a higher average earnings yield of 16.71% due to growth in loan volume and other earning assets for the year, compared to 10.69% in 2023, despite the higher cost of funds (5.79% in 2024 compared to 3.36% in 2023).

Net interest margin (NIM) improved from 6.11% in 2023 to 9.61% in 2024. The high-rate environment reflects the hike in the CBN Monetary Policy Rate (MPR) over the period from 18.75% in December 2023 to 27.25% in December 2024.

The growth in non-interest income was driven by an increase in fee and commission income. Key contributors were income from fund transfers, intermediation, and fees on digital channels, which saw impressive transaction volumes during the year.

Loans and Advances to customers grew by 42% due to new loans from the Commercial Banking Group and the impact of naira depreciation on FCY-denominated loans and advances.

The Group has maintained a strong risk management stance, ensuring the resilience of its business, especially in a volatile environment.

Deposit liabilities grew by 62% from the Commercial Banking Group due to continuous deposit mobilisation, supported by investments in digital banking capabilities, brand recognition, and the impact of naira depreciation on the translation of FCY-denominated deposits.

Reacting to the development, FBN Holdings Plc expressed confidence that this performance will be sustained to improve shareholder value in the future.

The Group is committed to further enhancing revenue and profitability by strengthening its value proposition, refining its governance model, and maximizing operational efficiencies. In the face of the increasingly competitive environment, the Group maintains a forward-looking approach, with a clear aim of building a sustainable institution and surpassing stakeholders’ expectations.

The outstanding financial results showcase significant growth across multiple key metrics. The strong growth recorded in net interest income is a testament to FBN Holdings Plc’s resilience and ability to deliver value in a competitive and evolving market landscape, the company stated in a note.

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