BY CHIKA OKEKE, Abuja
The FirstHoldCo has recorded a ₦653.54 billion profit before tax for the first half of 2026, representing an 83.5 per cent increase compared with ₦356.15 billion recorded in the same period last year.
Chairman of FirstHoldCo, Femi Otedola said that the group also recorded gross earnings of ₦1.93 trillion, representing a 16.7 per cent year-on-year increase, while operating income grew by 25.8 per cent to ₦1.38 trillion.
Building on the successes recorded in the first quarter of 2026, the half-year result signaled a defining shift in FirstHoldCo’s journey, from recovery and repositioning to disciplined growth, improved efficiency and sustainable value creation.
Following one of the most comprehensive and transparent balance sheet clean-ups in the Nigerian financial services industry, which addressed legacy asset quality concerns and strengthened the Group’s capital position, FirstHoldCo is now beginning to reap the rewards of a stronger, healthier and more resilient institution.
Also, non-interest income rose to ₦497.1 billion, supported by impressive performances across electronic banking, trade services, brokerage, funds transfer and other transaction-led businesses.
This complemented a healthy net interest margin of 9.5 per cent, driven by disciplined pricing, an improved funding mix, lower funding costs and continued optimisation of the balance sheet.
Another remarkable performance during the period was the continued improvement in operational efficiency. This was reflected in the Group’s cost-to-income ratio, which improved significantly to 44.2 per cent from 50.5 per cent in H1 2025, demonstrating disciplined cost management and the ability to translate revenue growth into stronger profitability.
FirstHoldCo’s prudent risk management practices also continued to drive improvements in asset quality during the period. Impairment charges declined by 37.4 per cent year-on-year, while pre-provision operating profit increased by 42.2 per cent, reflecting the underlying strength of the franchise, improved risk management and the Group’s sustained focus on reducing non-performing loan exposures.
The Group’s strong risk management capability was the recovery of approximately ₦91.9 billion during the first half of the year.
But as of June 30, 2026, FirstBank’s Capital Adequacy Ratio stood at 16.7 per cent, while its liquidity ratio remained strong at 52.2 per cent.
Its Investment Banking and Asset Management businesses recorded ₦46.0 billion in gross earnings and ₦27.4 billion in profit before tax, supported by an asset base of ₦572.3 billion.
Otedola described the results as a significant achievement in the Group’s transformation journey.
He said: “The first half of 2026 marks an important turning point for FirstHoldCo. These results affirm that the bold decisions the Board took to strengthen the institution were the right ones. We are witnessing the benefits of a stronger balance sheet and improved profitability.”
The Group Managing Director, Wale Oyedeji was satisfied with the performance.
He added: “Our H1 2026 performance reflects far more than strong numbers; it demonstrates the resilience of our franchise, the dedication of our people and the success of the strategic actions we undertook to reposition the Group for the future.
“Over the past year, we have worked deliberately to strengthen our balance sheet, restore capital, improve asset quality and enhance operating efficiency. The results show that those efforts are delivering meaningful outcomes and creating a stronger foundation for long-term growth.”
“We are particularly encouraged by the restoration of FirstBank’s Capital Adequacy Ratio ahead of plan, the continued growth of our transaction-led businesses and the increasing contribution of our Investment Banking and Asset Management franchise.”
The performance underscores the strength of the Group’s franchise, the quality and resilience of its earnings, and the benefits of the strategic decisions taken over the past year.
Comments
Post a Comment