FBC Holdings’ total net income increased 17,2pc

Business Reporter

FBC Holdings Limited’s total net income increased 17,2 percent to US$80,2 million in the six months to June 2026, from US$68,5 million recorded in the comparable period last year.

Profit before tax also rose 23,8 percent to US$17,5 million, from US$14,1 million recorded in the first half of 2025.

However, the group recorded a sharp decline in profit after tax in the first half of 2026, plunging 64,1 percent to US$12,8 million from US$33,9 million previously, as operating expenses surged during the period.

The sharp decline in after-tax earnings resulted in earnings per share falling to 2.10 US cents from 5,56 US cents in the prior-year comparative period.

“FBC Holdings continues to strengthen its financial performance, executing its mandate to serve corporate, institutional, and high-value clients.

“In the period under review, the bank made steady progress in client acquisition and recovery, supporting growth in transactional activity,” said FBC Holdings Limited Group Chief Executive Officer (CEO) Mr Trynos Kufazvinei during the half-year analyst briefing.

This performance indicates growing cost pressures across the group, with operating expenses rising 34,1 percent to US$58,1 million, compared with US$43,3 million in the first half of 2025.

As a result, FBC Holdings’ cost-to-income ratio deteriorated to 78 percent from 69 percent in the prior-year period, highlighting the faster growth in operating costs relative to income.

Despite the decline in profitability, the group maintained its dividend at US$0,32 cents per share, unchanged from the first half of 2025.

The contrasting movement between income and bottom-line earnings highlights the pressure facing financial institutions as they seek to grow revenue while containing operating costs.

FBC Holdings’ performance comes against a backdrop of a financial services sector grappling with rising operating costs, technology investment requirements and the need to maintain competitiveness in an evolving market.

The group’s ability to translate income growth into stronger bottom-line returns will therefore remain critical to improving shareholder value during the remainder of the financial year.