First HoldCo Plc reports N3.4trn gross earnings in 2025 amid strategic balance sheet strengthening

First HoldCo Plc has released its unaudited financial results for the year ended 31 December 2025, highlighting sustained revenue growth and strategic measures aimed at strengthening its balance sheet, improving asset quality, and positioning the Group for resilient, long-term growth.

According to the unaudited Group financial statement, First HoldCo recorded a 4.8% year-on-year increase in gross earnings to N3.4 trillion. Net interest income rose 36.3% to N1.9 trillion, supported by improved earnings yields and margins of 17.11% and 11.0%, respectively. Net fees and commissions also grew by 18.7% year-on-year to N290.7 billion, reflecting the Group’s continued strength in core revenue-generating activities.

Earnings for the year, however, were lower than the previous year due primarily to higher impairment charges in the commercial banking segment, reflecting a deliberate strategic decision to accelerate balance sheet clean-up and adopt more rigorous provisioning standards. The Group indicated that these measures were aimed at enhancing transparency, strengthening investor confidence, and aligning with regulatory expectations.

Increased regulatory costs also impacted profitability, underscoring the Group’s commitment to compliance and financial system stability. Despite these pressures, the underlying performance of the Group remained solid.

Deposit liabilities rose 10.0% year-on-year, supported by sustained deposit mobilisation and ongoing investment in digital banking platforms. The deposit mix shifted towards local currency, reflecting repayment of higher-cost foreign currency funding and the impact of naira appreciation, improving funding efficiency and reducing foreign exchange risk.

Gross loans and advances declined slightly, reflecting a disciplined approach to credit growth, strengthened risk management, repayments, write-offs, and the translation effects of a stronger naira on foreign currency facilities. The Group maintained a focus on building a cleaner, higher-quality asset base to optimise portfolio performance and future earnings potential.

Non-interest income fell due to lower fair value gains on financial instruments following naira appreciation, but this was partly offset by stronger foreign exchange trading income and reduced FX revaluation losses. Net fees and commissions grew on the back of higher electronic banking fees, letters of credit commissions, custodian fees, and account maintenance income, demonstrating the continued impact of the Group’s digital innovation strategy.

Excluding impairment and fair value gains, pre-provision operating profit grew 23.9% year-on-year to N973.3 billion, highlighting the resilience of the core business.

Looking ahead, First HoldCo plans to maintain disciplined execution of its strategic objectives, with focus on operational efficiency, digital and data capabilities, and a strong balance sheet to support value creation for shareholders. The Group also intends to pursue selective growth initiatives, including new revenue streams, additional business verticals, and deeper participation in targeted African markets in line with its strategy and risk appetite.