Shareholders of First City Monument Bank Plc are to split a total of N2.97 billion approved by its Board as dividend for the financial year ended, December 31, 2020.
This translates into a dividend payment of 15 kobo per share, paid on all the issued 19,802,710,754 Ordinary shares of the bank as against 14 kobo per share the previous year. The approval is part of the resolutions reached at the recently concluded 8th Annual General Meeting (AGM) held by the company on April 21, 2021.
Presenting the report for the year, the Chairman, Oladipupo Jadesimi, assured that the FCMB Group was well-positioned to continue to succeed in the years to come, even in the face of the COVID-19 pandemic. He attributed the optimism to the decisions that the financial institution had made over the past few years, especially those around leveraging new digital technology, to expand access to financial transactions.
Among other results for the year 2020, the Group’s gross revenue increased to N199.4 billion, a 10 per cent increase from N181.3 billion achieved in 2019. The results also showed enhanced customers confidence in FCMB, as deposits grew by 33 per cent to N1.3trillion from N943.1billion in the previous year. Loans and advances surged by 15 per cent to N822.8 billion as at December 2020.
Total assets of the Group increased by 23 per cent to N2.06 trillion last year. Moreover, FCMB Group’s net interest income was up by 20 per cent to N90.8 billion for the full year 2020 from N76.0 billion in 2019. Non-interest income equally increased to N37.8 billion, representing a nine per cent growth, as against N34.8 billion prior year. The Group’s Assets Under Management also sustained its growth trajectory by rising to N495.2 billion for the year ended December 2020, up by 23 per cent.
Similarly, capital adequacy ratio remained stable at 17.7 per cent for the retail and commercial banking subsidiary of the Group (that is, First City Monument Bank). The capital adequacy ratio of 17.7 per cent is above the benchmark set by the Central Bank of Nigeria for Deposit Money Banks in the country. Liquidity ratio of the Bank stood at 34.2 per cent as at the end of the financial year 2020, indicating that the financial institution is in a very healthy position. Non-performing loans to total loans ratio stood at a modest 3.3 per cent.
Shareholders of FCMB Group have therefore restated their confidence in the financial institution to sustain its impressive performance and deliver more value.
The shareholders gave the commendation at the 8th Annual General Meeting (AGM) of the Group held on April 21, 2021 at its corporate head office in Lagos.
Speaking at the AGM, the Independent Shareholders Association of Nigeria (ISAN), Emeritus, Sir Sunny Nwosu, praised the institution for efficiently running its affairs and the appreciable growth recorded in key operating areas. Also commenting, the National Co-ordinator of Pragmatic Shareholders Association of Nigeria Mrs. Bisi Bakare, stated that, “we are impressed by the digital transformation drive of FCMB which has impacted positively on customer service and financial inclusion
In his remarks , the National Chairman, Progressive Shareholders Association of Nigeria, Mr. Boniface Okezie, said, “FCMB as a Group has done so well over the years in every aspect of business. The institution is growing rapidly with branches all over the country. It is also performing well in terms of innovation, technology and customer service.
On his part, the Group Chief Executive of FCMB Group Plc, Mr. Ladi Balogun, reported that in spite of the challenging macroeconomic environment, the Group grew profit after tax by 13.4% to N19.7billion. He added that this increase had a direct correlation with earnings per share, which grew from 87 kobo in 2019 to 98 kobo in 2020, while return on average equity also rose to 9.2% from 9%.
The AGM was held virtually due to the prevailing COVID-19 (coronavirus) pandemic and streamed live to shareholders of the financial institution. This is in conformity with government’s directives on physical distancing and the restriction on maximum number of people at every gathering due to the COVID-19 pandemic. The virtual meeting is also in accordance with Section 254 of the Companies and Allied Matters Act 2020 and as approved by the Corporate Affairs Commission.
