Zimbabwe: FMB Capital Group posts $ 22.5 million in profit
FMB Capital Holdings Plc (FMBCH), headquartered in MAURITIUS, achieved gross profit totaling US $ 22.5 million in the fiscal year ended June 30, 2021.
The group’s subsidiary banks operating in Botswana, Malawi, Mozambique, Zambia and Zimbabwe have all been profitable in the first six months of the year despite the continued impact of Covid-19.
FMBCH group chief executive Mahendra Gursahani said pre-tax profits reached $ 22.5 million, up from $ 20 million in the same period last year.
The group posted a combined after-tax profit of US $ 13.1 million compared to US $ 14.3 million as of June 30, 2020.
“These results reflect the resilience of FMBCH and the way our teams and businesses have weathered the pandemic as we continue to serve our customers and deploy relevant and new products in our markets.
“Despite regular interruptions of operations, the group’s operations have successfully maintained uninterrupted banking operations, ensuring that customers can access banking services securely while protecting our staff and partners,” he said.
The group recorded growth in net interest income to US $ 44.2 million from US $ 29.1 million in the same period last year.
Unfunded income increased from US $ 23.9 million to US $ 32.5 million in the first half of 2020, while total income improved to US $ 76.7 million from US $ 52.9 million. US dollars while operating expenses increased to 46.3 million US dollars from 35.9 million US dollars.
“Total assets have gone from $ 1.09 billion to $ 1.22 billion. The group also benefited from improving stock markets, with the market value of listed investments in Malawi and Zimbabwe increasing significantly in the first half of 2021, ”said Gursahani.
The capital adequacy and liquidity ratios of all the group’s banks comfortably meet the minimum prudential ratios prescribed in their respective territories, which gives the Group the capacity to selectively develop its balance sheet.
Earnings per share for the period under review increased 7% to $ 0.3751 per share, from $ 0.3518 per share for the six-month period ended June 2020.
FMBCH has indicated that it will however continue to exercise prudence in the management of its balance sheet in all the territories in which it operates, with an emphasis on the generation of sustainable customer deposits.
“Due to the group’s positive half-year performance, the directors of FMBCH have decided to pay an interim dividend of USD 1,966,600 representing 0.08 cent (USD) per share in October 2021. This is good news as there is no dividend. was only paid during the same period last year, ”Gursahani added.