- Total income soared to zwl49 billion
- After tax profit increased to ZWL25.4 billion
- Total assets rocketed to over ZWL495 billion
Harare- The diversified ZSE-listed entity, FBC Holdings Limited has shelved ZWL49 billion in total income during the first quarter ended 31 March 2023.
The development comes after the Reserve Bank of Zimbabwe reduced borrowing costs by 50 percentage points in February, from 200% to 150% and later to 140%. The move encouraged borrowing both at corporate level and individual level.
Commenting on the reduction of repo rates, the Group said, “It is anticipated that the reduction of interest rates will stimulate demand for credit and promote production.”
The Group said it maintained a prudent approach to expense management, and this resulted in a cost-to-income ratio of 41% for the period under review.
Resultantly, a profit before tax of ZWL28.79 billion was recorded and after-tax profit shoot to ZWL25.4 billion.
Total assets soared to ZWL495.4 billion with underlying shareholder funds of ZWL90.5 billion and a return on equity of 28%.
However, the Group said macroeconomic risks remain and business prospects are under threat due to ongoing global political conflicts and the possibility of an economic recession.
The Group said it expects that the authorities will continue reviewing measures to mitigate these risks and stimulate economic activities.
“The Group will continue to track both local and global economic developments in its strategy formulation and risk management frameworks,” said the Group.
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