FCMB Nigeria Targets Full-Year Profit of 19 Billion Naira

First City Monument Bank Plc (FCMB), a Nigerian lender, said it is aiming for a full-year profit of 19 billion naira ($120 million) in 2012.

“We are targeting 141 billion naira for full-year revenue and full-year earnings per share of 1.10 naira,” the Lagos- based lender, also known as FCMB, said today in an e-mailed statement.

FCMB, which last year acquired Finbank Plc (FIRSTINL), a lender bailed out by the central bank in 2009, plans to complete the integration of the two banks by June, “with Finbank expected to add 10 percent to FCMB’s overall profitability,” Chief Executive Officer Ladi Balogun said on a conference call from Lagos. The bank, with the merger, is forecast “to generate a return on equity of 14 percent,” he said.

FCMB posted a full-year loss of 9.9 billion naira in 2011, compared with a profit of 7.9 billion naira a year earlier, as it made a provision of 29 billion naira for bad loans, it said yesterday in an e-mailed statement. Revenue rose 28 percent to 80.4 billion naira.

The stock gained 4.6 percent to 3.87 naira today by the close in Lagos, the biggest rise in six weeks.

To contact the reporter on this story: Emele Onu in Lagos at eonu1@bloomberg.net

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

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