FBC Holdings Ltd reported a solid profit in the first half of the year to June buoyed by solid performance of its banking, building society and key subsidiaries.
The group’s profit during the six months to June of 2013 reached US$10 million, representing 59% of total profits for all of 2012.
“The group’s earnings capacity continues to be buttressed by its diversified business model, with all the subsidiaries except the manufacturing business, achieving results significantly higher than those achieved for the corresponding period last year,” the group said in a statement attached to its results.
The group’s seven subsidiaries offer a wide range of financial services as well as manufacturing and construction –– and a conscious effort to enter under-served markets has allowed the group to navigate the tough economic waters. Flagship FBC Bank’s cost to income ratio dropped from 75% to 73% .
Basic earnings per share rose from 1,06 US cents to 1,31 US cents from the same period last year.
The improvement in the cost to income ratio was due in part to the group’s ability to maintain operating expenses in line with inflation, while also decreasing staff costs through a rise in automation and electronic transactions.
Management said e-commerce would continue to be a primary focus for the group as banking makes its transition into the future.
FBC’s shares attracted foreign demand, with three foreign shareholders purchasing more than 10% of its listed shares, which helped spur its price increase.