FMBcapital Holdings plc (FMBCH), the parent company of First Capital Bank, has posted an after-tax profit of $14.29 million (about K11 billion) in the half-year ended June 30 2020.
The profit has gone up by 181 percent.
In an interview on Friday, FMBCH managing director Dheeraj Dikshit said the group is encouraged by the results, which are in line with the holding company’s 2020 financial and strategic goals.
He said: “I would like to thank the extraordinary efforts of all our people who delivered a resilient first-half performance in the face of challenging economic environments.
“Disciplined execution and fast innovation in the face of a crisis contributed to improved organic growth and profitability.”
During the period under review, net interest income for the group grew by five percent to $29.06 million (about K22 billion) while non-funded income rose by 20 percent to $23.90 million (about K17 billion) from $19.95 million (about K15 billion) in June 2019.
At the same time, total income grew by 11 percent to $52.96 million (about K40 billion) while operating expenses increased by one percent to $35.99 million (about K27 billion).
The group’s total assets during the period jumped by 15 percent from $950 million (about K713 billion) to $1.1 billion (K825 billion).
Reads the statement accompanying the financial results: “The group has witnessed stellar performance from its Botswana subsidiary owing to increased transactional volumes, a growing customer base and a significant foreign currency income.
“FMBCH Zimbabwe business, which had a difficult 2019 owing to exchange rate challenges in that market, also performed well above expectation while businesses in Malawi, Mozambique and Zambia have remained profitable.”
Dikshit said with the Covid-19 pandemic, the group’s priority is to ensure the safety of their staff, customers, suppliers, partners and the local communities.
“We firmly believe that the proactive actions in our markets have supported each country’s objective and played a role in the fight against Covid-19. The group has also shown agility in adapting to the crisis with customers embracing the bank’s digital channels,” he said.
Over the years, the Malawi Stock Exchange-listed FMBCH has invested in solid technology hub domiciled in Mauritius to empower its customers to transact better, faster and simpler.
The group said the Mauritius hub has enabled the business to improve its operational efficiency and offer new solutions for its customers.
Apart from Malawi, FMBCH has subsidiary banks in Botswana, Mozambique, Zambia and Zimbabwe.