Nigerian financial services group FirstHoldCo Plc reported a record first-half performance on Monday, with profit before tax rising 83.5% year-on-year to 653.5 billion naira, driven by stronger operating income, growth in non-interest revenue and improved balance sheet quality following a strategic clean-up of legacy assets.
The holding company, which owns FirstBank and other financial services businesses, said gross earnings increased 16.7% to 1.93 trillion naira in the six months ended June 30, while operating income rose 25.8% to 1.38 trillion naira.
The results mark a continuation of the group’s turnaround after it restructured its balance sheet and addressed legacy asset quality issues in 2025, positioning the lender for sustained profitability, the company said.
Non-interest income climbed to 497.1 billion naira, supported by growth in electronic banking, trade services, brokerage, funds transfers and other transaction-based businesses. The group also reported a net interest margin of 9.5%, reflecting lower funding costs, disciplined asset pricing and an improved funding mix.
“The first half of 2026 marks an important turning point for FirstHoldCo,” Chairman Femi Otedola said in a statement. “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.”
Group Managing Director Wale Oyedeji said the performance reflected continued focus on revenue growth, operational efficiency, governance and prudent capital allocation, adding that the lender was well positioned to benefit from opportunities in Nigeria’s evolving financial services sector.
The group’s investment banking and asset management businesses also posted stronger results, generating 46.0 billion naira in gross earnings and 27.4 billion naira in profit before tax during the period, supported by an asset base of 572.3 billion naira.
FirstHoldCo said its stronger earnings profile was underpinned by a more diversified business model and progress in digital banking and financial inclusion initiatives, while continued recoveries from legacy non-performing loans strengthened its capital position.
The lender joins several Nigerian banks reporting robust earnings as higher transaction volumes, digital banking growth and improved operating efficiency offset a more challenging interest rate environment.
Investors have also been closely monitoring the sector as banks implement regulatory recapitalisation requirements and strengthen their balance sheets.
