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… Group MD Wale Oyedeji says ₦3.4trn gross earnings, stronger capital base and improved asset quality set stage for higher shareholder returns
FirstHoldCo Plc on Friday released its audited results for the year ended December 31, 2025, reporting stronger core earnings and a more resilient balance sheet after a year of disciplined execution and strategic de-risking.
The financial services group grew gross earnings by 6.9% year-on-year to ₦3.4 trillion, driven by robust core banking activities and a diversified income base. Interest income jumped 24.9% to ₦3.0 trillion, supported by proactive asset repricing and improved yields.
Net interest income rose 36.8% to ₦1.9 trillion, lifting the net interest margin to 11.1%. Non-interest income also held firm, with net fees and commission income up 20.2% to ₦294.5 billion on the back of higher digital transaction volumes, transfer and intermediation fees, and trade finance activity.
Operating expenses increased 32.1% to ₦1.2 trillion, reflecting inflationary pressures, foreign exchange headwinds, higher personnel costs and increased regulatory fees. The cost-to-income ratio climbed to 53.8%.
Profit before tax fell 70.5% to ₦235.0 billion, largely due to a 93.8% rise in impairment charges and the normalisation of foreign exchange gains recorded in the prior year. Excluding provisions, pre-provision profit rose 36.6% to ₦1.07 trillion, underscoring the group’s underlying earnings strength.
Total assets grew 2.7% to ₦27.3 trillion, with cash, loans and investment securities now making up 89.8% of the balance sheet. Customer deposits climbed 10.0% to ₦18.9 trillion, with a high-quality current and savings account mix of 93.1%, signaling continued customer confidence.
Asset quality remained a focus. The non-performing loan ratio rose to 12.0% from 10.2%, reflecting higher impairment charges tied to industry-wide exposure in oil and gas. However, the coverage ratio improved sharply to 98.7% from 54.8%, and management said collateral values remain adequate to cover exposures.
The group also strengthened its capital position. Share premium rose to ₦458.4 billion following a successful capital raise, pushing total shareholders’ funds to ₦3.3 trillion from ₦2.8 trillion. Under its ₦350 billion capital raise programme, FirstHoldCo has secured ₦128.7 billion to date and said it remains on track to meet the ₦500 billion minimum capital requirement for FirstBank.
Commenting on the results, Group Managing Director Wale Oyedeji said 2025 marked a turning point for the group.
“2025 was a defining year for FirstHoldCo, characterised by disciplined execution, resilient core earnings and a comprehensive reset of our balance sheet for sustainable performance and high-quality growth,” Oyedeji said.
He noted that gross earnings growth was underpinned by strong net interest income and continued momentum in digital and transactional businesses. The group, he added, had “comprehensively de-risked” its balance sheet by adequately providing for impaired and non-performing exposures, aligning with the post-forbearance landscape.
“This decisive action enhances transparency and positions the Group on a far stronger foundation for future growth, improved asset quality and higher-quality earnings,” he said.
Oyedeji said FirstHoldCo was also making progress on legacy loan recoveries, particularly from upstream oil and gas borrowers with significant reserve-backed collateral. Alongside this, the group continued to invest in governance, technology and financial inclusion to deepen customer engagement and expand access.
Looking ahead, he said priorities are clear: improve earnings quality, drive efficiency, strengthen asset quality and capital, and scale non-banking businesses.
“With a cleaner balance sheet and a defined capital pathway, FirstHoldCo is positioned to accelerate sustainable growth and translate performance into consistent shareholder returns,” Oyedeji said. “This is an enduring franchise, of scale, trust and systemic relevance, and we are firmly committed to compounding value and returning more to shareholders.”
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