FirstHoldCo Sustains Growth Momentum as Gross Earnings Hit ₦2.6 Trillion

FirstHoldCo Plc has reported strong revenue growth, with gross earnings climbing 17.1 percent year-on-year to ₦2.64 trillion for the nine months ended September 30, 2025. This compares to ₦2.25 trillion reported in the corresponding period of 2024, reflecting sustained momentum across its core business segments. 

The unaudited results show that the increase was primarily driven by core banking activities:

Interest Income saw a sharp rise of 40.4 percent to ₦2.29 trillion, up from ₦1.63 trillion in September 2024, backed by improved asset yields and expansion of the loan book.

Net Interest Income also surged by 71.7 percent year-on-year to ₦1.5 trillion.

Operating Income grew by 23.2 percent to ₦1.80 trillion.

Profit Dip Amidst Higher Costs and Risk Provisioning

Despite the robust revenue growth, the Group experienced a decline in profitability due to necessary balance sheet strengthening and higher operational expenditure.

Profit Before Tax (PBT) slipped 7.3 percent to ₦566.5 billion, down from ₦610.9 billion a year earlier.

Profit After Tax (PAT) fell by 15.5 percent to ₦450.9 billion.

This profit reduction was primarily driven by two factors:

1 Impairment Charges for credit losses surged 68.6 percent to ₦288.9 billion, reflecting prudent risk provisioning in the current volatile operating environment.

2. Operating Costs jumped 39.3 percent to ₦942.7 billion, coupled with the normalisation of fair value gains.

Balance Sheet Stability and Asset Quality Improvement

The Group maintained a stable balance sheet and demonstrated improved asset quality:

Customer Deposits rose 4.2 percent year-to-date to ₦17.9 trillion.

Net Loans and Advances increased by 9 percent to ₦9.6 trillion.

 The Non-Performing Loan (NPL) ratio improved to 8.5 per cent, down from 10.2 percent recorded in December 2024, signaling effective risk management.

Key performance ratios include a post-tax Return on Average Equity (ROAE) of 19.9 per cent. However, the cost-to-income ratio increased to 52.4 per cent, up from 46.4 percent a year earlier.

Management Commentary and Recapitalisation Update

Group Managing Director, Adebowale (Wale) Oyedeji, described the results as a reflection of the Group’s underlying resilience.

Adebowale Oyedeji: "Our interest and operating income grew strongly... supported by a 26.9 percent rise in fees and commission income. The decline in profit before tax was due to the normalisation of fair value gains and balance sheet strengthening initiatives."

On the crucial matter of the recapitalisation of FirstBank, Oyedeji disclosed a key milestone:

The first phase of the private placement capital raise has been successfully executed and is awaiting final regulatory approvals.

 The Group expects to conclude this phase in November 2025, ensuring FirstBank achieves full compliance with the new minimum capital requirements by year-end.

Oyedeji reaffirmed the Group’s commitment to achieving its 2029 financial targets, noting that FirstHoldCo is well-positioned to deliver stronger shareholder value through operational scalability and prudent capital management.