Bloomberg News

First City Bank Reports 73% Increase in 9-month Profit

October 24, 2011

(Updates with closing stock price in fourth paragraph.)

Oct. 24 (Bloomberg) -- First City Monument Bank Plc, Nigeria’s worst-performing bank since June 30, posted a 73 percent increase in profit for the nine months through September.

Net income climbed to 7.91 billion naira ($49.2 million) from 4.58 billion naira a year earlier, the Lagos-based lender said in a statement posted on the website of the Nigerian Stock Exchange today. Revenue rose 23 percent to 55 billion naira from 44.55 billion naira a year earlier, it said.

Earnings are beginning to rise for Nigerian lenders following industry reforms implemented by the central bank after a debt crisis that brought the industry to the verge of collapse in 2009. Nigeria’s central bank bailed out of the country’s 24 lenders with the equivalent of $4 billion and the Asset Management Corp. of Nigeria was set up to buy bad debts from banks.

FCMB was unchanged at 4 naira by the 2:30 p.m. close in Lagos. The stock has fallen 44 percent since June 30, the worst performance among lenders listed on the Nigerian Stock Exchange.

--Editors: Dulue Mbachu, Antony Sguazzin.

To contact the reporter on this story: Vincent Nwanma in Lagos at vnwanma@bloomberg.net

To contact the editor responsible for this story: Dulue Mbachu at dmbachu@bloomberg.net


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