Chronicle Editor
Sikhulekelani Moyo, Business Reporter
FBC Holdings Limited has recorded $9,29 billion total income for the first quarter of 2022, reflecting a 157 percent growth compared to the same period last year.
In its first-quarter trading update, FBC said the income jump was driven by a significant decline in Covid-19 fatalities and relaxation of lockdown restrictions as there is an increase in the number of vaccinated people.
The bank said in response to the declining fatalities, the Government implemented less restrictive measures to the operating environment, encouraging the extension of working hours and transition to the return of business as usual.
“For the period ended 31 March 2022, the group recorded a total income growth of 157 percent on the prior year comparative period to $9,29 billion in inflation-adjusted terms,” said group company secretary Mr Tichaona Mabeza in a statement.
“The group surpassed performance expectations, largely benefiting from the relaxation of Covid-19 restrictions, which restored business operating hours.”
Mr Mabeza also said the group achieved a commendable profit before tax of $3,84 billion and an after-tax position of 3,09 billion, an improvement of 160 percent and 165 percent respectively.
“In the period under review, total group assets stood at $83,3 billion, up 10 percent from the previous year’s inflation-adjusted figure of $75,8 billion. Total equity attributable to shareholders of the parent company was recorded at $20,2 billion representing a growth of 17 percent on the comparative period last year.”
FBC Holdings Limited said the ongoing Russo-Ukraine conflict has brought punitive disruptions to the availability and pricing stability of various global supply chains spanning from energy, agriculture, mining, banking systems and cyber-security sectors of the global economy.
“Locally, the ripple effects of the aforementioned conflict continue to be felt in the economy, particularly in the form of pass-on increases in basic commodity prices, such as fuel, cooking oil and wheat, which has negatively affected consumption at household level at a time our own country is dealing with addressing the structural weakness in the economy and the vagaries of climate change,” said Mr Mabeza.
“Despite the challenges in the operating environment, the group’s overall financial performance was commendable.”
However, the group said the global rise in metal prices could potentially translate into improved export receipts for the country’s mining sector. — @SikhulekelaniM1
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