First Holdco Plc, a leading Nigerian financial institution, has announced a robust half-year performance for 2025, demonstrating resilience amidst a volatile economic landscape. The Group’s unaudited results, released promptly to the Nigerian Exchange Limited, showcase significant growth in core business operations, reinforcing its strong fundamentals and strategic execution. This proactive transparency underscores First Holdco’s commitment to stakeholder engagement and market leadership.
The Group’s half-year performance is marked by a substantial increase in gross earnings, reaching N1.7 trillion, an 18.1% rise compared to the same period in 2024. This growth is primarily attributed to a significant 51.7% surge in interest income, driven by optimized lending portfolios and favorable interest rate dynamics. Net interest income similarly experienced a remarkable 75.7% increase, reaching N904.8 billion, further solidifying the Group’s robust financial performance. Non-interest income also contributed to the positive trajectory, with gross fees and commission income growing by 29.7% to N168.57 billion, reflecting increased customer engagement and digital transaction activity.
First Holdco’s balance sheet remains strong, with customer deposits growing to N17.9 trillion, a clear indicator of sustained public confidence in the institution’s stability. Loans and advances (net) also witnessed a slight increase to N8.9 trillion. While profit before tax declined to N356.1 billion compared to the previous year, this is largely attributed to normalized foreign exchange gains and increased impairment charges related to forbearance loans. The Group is actively addressing these loans and is committed to exiting regulatory forbearance by the end of the 2025 financial year, while also maintaining its commitment to shareholder dividends.
The Group’s total assets have increased to N27.2 trillion, demonstrating its commitment to disciplined risk asset governance and proactive risk mitigation. This strategic approach underscores First Holdco’s focus on maintaining a strong financial position and navigating the challenging macroeconomic environment. The Group Managing Director, Adebowale Oyedeji, emphasized First Holdco’s commitment to further strengthening its earnings profile and completing the recapitalization of its primary subsidiary, First Bank of Nigeria Ltd, well ahead of the March 2026 deadline.
Key financial ratios further highlight First Holdco’s strong core business performance. The net interest margin improved significantly to 10.4%, demonstrating enhanced lending efficiency and asset optimization. While the cost-to-income ratio rose to 50.5%, reflecting increased operating expenses in an inflationary environment, the Group maintained a resilient operating income. The non-performing loan ratio increased to 12.9%, primarily due to one oil and gas loan and forbearance-related activities. However, proactive measures are being implemented to de-risk the loan book and maintain balance sheet resilience. This demonstrates a prudent approach to risk management, further solidifying the Group’s financial stability.
First Holdco’s sustained growth amidst macroeconomic headwinds underscores its robust fundamentals and strategic execution. The Group’s proactive risk management, coupled with its focus on digital transformation, customer engagement, and operational excellence, positions it well for continued stability and growth. Looking ahead, First Holdco remains committed to delivering optimal value to shareholders and contributing to economic development within its operational footprint. The Group’s commitment to transparency, strategic investments, and disciplined financial management reinforces its position as a leading financial institution in Nigeria’s dynamic economic landscape.
