Malawi Stock Exchange (MSE)–listed FMB Capital Holdings has said it sees its profits for 2019 dipping by 70 percent as compared to that posted in 2018.
The bank says, in a trading statement signed by Group Managing Director, Dheeraj Dikshit, that the decline in profit is due to the impact of the macroeconomic environment in Zimbabwe and the impact of hyperinflation and devaluation of the local currency.
Dikshit says except for Zimbabwe, the performance of the other businesses in the group is in line with expectations.
“Last year, the group posted a profit of $30.617 million. A 70 percent fall in profitability could see the firm’s profits hovering slightly above $9 million.
“The information on which this trading statement is based has not been reviewed or reported on by the company’s external auditors,” Dikshit says.
He added the summary consolidated and separate financial statements of the company for the annual period ending December 31 2019 are expected to be published in the press in April 2020.
FMBCH plc is the Mauritius-based holding company of the FMB capital Group. It is listed on the MSE and has banking and finance operations in five Southern African Development Community (Sadc) countries, namely Botswana, Malawi, Mozambique, Zambia and Zimbabwe.
With a solid track record of financial strength and stability FMBCH plc aims to be a leading provider of financial services in the region by offering comprehensive and innovative products and services, deploying advanced IT delivery platforms, prioritising customer service levels, providing strong leadership and management and implementing strong and robust principles of corporate governance.
FMBCH plc is rated Long Term A+ and Short Term A1 by Global Credit Rating Company, an independent international rating agency.