FMB Capital Holdings (FMBCH) plc, the holding company for First Capital Bank operations in Africa, has reported profit after tax of $21.2 million (about K16.5 billion).
This comes after a loss of $18.6 million (about K14.5 billion) reported in the previous year, published financial results show.
FMBCH plc interim group managing director Mahendra Gursahani said in a statement the group made significant progress in growing and optimising its operations.
“Despite the challenges from the Covid-19 pandemic and flow on to a slowdown in economic activity, we remained not only open for business but continued with even greater resolve to offer and deliver new and innovative digital and customer service enhancements,” he said.
In the period under review, net interest income for the group grew by 18 percent to $65.7 million while non-funded income rose by 21 percent to $61.5 million from $50.7 million in December 2019.
During the same period, total income improved by 19 percent to $127.3 million while operating expenses decreased by seven percent to $79.7 million.
The figures show that total assets increased by two percent from $1.05 billion to $1.07 billion.
The statement said the performance of the Zimbabwe operations was impressive buoyed by improved economic stability in the country, coupled with the group’s focused business growth interventions, which saw the negative performance figures of 2019 ($29.5 million loss) transforming into a profit of $4.7 million in 2020.
“We are making good strategic progress through disciplined emphasis on our performance, people and purpose priorities.
“Our expectations for the group in 2021 are positive although we remain cautious of the Covid-19 pandemic which has caused economic uncertainty, not only in the markets that we operate in, but globally as well,” said Gursahani.
He said the group’s focus remains on delivering premium value for its customers, employees, and shareholders.
“We will continue to innovate and evolve our operating model to be more flexible and provide our clients with a banking experience that truly meets their financial aspirations.”
Last year, FMBCH plc celebrated its 25-year milestone in business after being granted the first private sector commercial banking licence in Malawi, opening the doors of the first branch on June 26 1995.
Over the years, the group acquired banks in adjacent Southern African Development Community countries.