First HoldCo Plc announced its unaudited financial results for the year ended December 31, 2025, reporting a 4.8 per cent year‑on‑year increase in gross earnings to N3.4 trillion, supported by growth in interest income and net fees, the company said in a statement issued on January 30, 2026.
According to the financial statement, net interest income rose to N1.9 trillion, driven by improved earnings yields and margins, while net fees and commissions increased to N290.7 billion, underscoring the strength of the company’s core revenue streams.
However, the results showed that overall profitability declined compared with the prior year, primarily due to higher impairment charges in the commercial banking segment.
The company recorded significant provisions against loans and advances, reflecting a strategic decision to accelerate balance sheet clean‑up and strengthen asset quality in line with regulatory expectations.
Management described the elevated impairment expenses as a deliberate strategic action to address non‑performing exposures and enhance transparency, noting that these measures are aimed at bolstering investor confidence and aligning the group with evolving risk management standards.
The group also faced increased regulatory costs, which further weighed on profitability, though officials said these costs demonstrate adherence to Nigeria’s financial system stability framework and the company’s commitment to systemic confidence.
Despite the pressure on earnings, deposit liabilities grew by 10 per cent year‑on‑year, attributed to sustained deposit mobilisation and continued investment in digital banking platforms.
The deposit mix also shifted with a deliberate reduction in foreign currency deposits, supporting improved funding efficiency and reduced foreign exchange risk.
First HoldCo’s cautious approach to credit growth saw gross loans and advances decline marginally as the group emphasised disciplined lending, stronger risk oversight, loan repayments and write‑offs, alongside the translation impact of an appreciated naira on foreign currency facilities.
Non‑interest income performance was mixed, with a decline in fair value gains on financial instruments partly offset by stronger foreign exchange trading income and reduced revaluation losses.
Growth in electronic banking fees, letters‑of‑credit commissions and custodial fees reflected the continued positive impact of digital innovation.
Excluding impairment charges and fair value effects, First HoldCo’s pre‑provision operating profit rose by 23.9 per cent year‐on‐year to N973.3 billion, demonstrating resilience in the core business operations.
The board said it will continue to prioritise its strategic objectives, focusing on enhanced efficiency, profitability and expansion into new revenue streams, while maintaining a robust balance sheet to support value creation for shareholders and deeper participation in targeted African markets.
The group’s 2025 results illustrate an operating environment where revenue growth was tempered by proactive risk management and regulatory compliance, highlighting the company’s efforts to balance growth with long‑term financial stability.
