First HoldCo Plc hits ₦3.4trn gross earnings amid strategic balance sheet reset - ITREALMS

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First HoldCo Plc has announced its audited financial results for the full year ended December 31, 2025, revealing a 6.9% growth in gross earnings to ₦3.4 trillion compared to ₦3.2 trillion in the previous year, reports ITREALMS.

This performance was largely supported by a significant 36.8% surge in net interest income, which reached ₦1.9 trillion, driven by proactive asset repricing and enhanced yields. The Group’s total assets also saw a modest expansion of 2.7%, closing the year at ₦27.3 trillion, while customer deposits grew by 10% to reach ₦18.9 trillion, signaling sustained market trust and a stable funding base.
Despite the robust top-line growth, the Group reported a 70.5% decline in profit before tax, which fell to ₦235.0 billion from ₦796.5 billion in 2024. Profit for the year followed a similar trend, dropping 79.4% to ₦139.5 billion.

This bottom-line contraction, ITREALMS gathered, was primarily attributed to a deliberate 93.8% increase in impairment charges for losses, totaling ₦826.3 billion, as the Group moved to aggressively de-risk its balance sheet.

Additionally, the normalization of foreign exchange gains from prior years and a 32.1% rise in operating expenses; fueled by inflationary pressures and regulatory fees, impacted overall profitability.

The Group Managing Director, Wale Oyedeji, described 2025 as a defining year focused on a comprehensive reset for sustainable future performance.

He emphasized that the decision to adequately provide for systemic impaired and non-performing exposures enhances transparency and positions the Group on a far stronger foundation.

Oyedeji noted that while the non-performing loan ratio rose to 12.0%, the NPL coverage ratio improved significantly to 98.7%, reflecting enhanced resilience.

He also highlighted the successful securing of ₦128.7 billion so far under the Group’s ₦350 billion capital raise program, ensuring the Commercial Banking arm meets the ₦500 billion regulatory capital requirement.

On a segmental basis, the Commercial Banking group contributed the bulk of the earnings with ₦3.36 trillion in gross revenue, though its profit after tax declined to ₦129.3 billion.

The Investment Banking and Asset Management (IBAM) arm recorded gross earnings of ₦72.8 billion and a profit before tax of ₦31.9 billion.

Looking ahead, the Group remains focused on improving earnings quality and scaling its non-banking businesses, bolstered by a cleaner balance sheet and a defined capital pathway aimed at delivering consistent shareholder returns.

Chuks Egbune/DoP