Last Update 02 Nov 25
Fair value Increased 6.90%First HoldCo Plc's performance for the half-year ended June 30, 2025 H1/Q2 Result
Recent valuation
Executive Summary
First HoldCo Plc delivered resilient performance for the nine months ended September 30, 2025, supported by solid earnings momentum across banking operations, strong net-interest income growth, and sustained fee-based income contribution. The Group demonstrated effective asset-liability management, improved credit cost discipline, and enhanced balance sheet strength despite FX market volatility and losses from discontinued operations.
Profit Before Tax grew ~7% YoY to ₦566.5bn (vs ₦610.9bn in 9M 2024), underscored by robust interest income, lower impairment charge volatility, and stronger operating income. However, higher operating expenses and reduced market gains tempered bottom-line expansion. Profit After Tax from continuing operations stood at ₦458.1bn for 9M 2025, while total Group Profit After Tax (including discontinued operations) printed at ₦450.9bn, reflecting a strong underlying performance despite a small loss from discontinued business units. On the balance sheet, the Group recorded total assets of ₦26.40tn, with customer deposits up to ₦17.89tn, reinforcing its funding leadership and balance-sheet scale. Overall, FirstHoldCo sustained strong earnings resilience, capital adequacy, and liquidity positioning despite macro and FX challenges.
Financial Highlights – Statement of Profit or Loss
₦’million Q3 2025 9M 2025 Q3 2024 9M 2024
Interest Income 854,969 2,292,378 685,316 1,633,010
Interest Expense (259,218) (791,800) (326,310) (759,071)
Net Interest Income 595,751 1,500,578 359,006 873,939
Impairment Charge (103,522) (288,919) (78,401) (171,387)
Net Interest After Impairment 492,229 1,211,659 280,605 702,552
Net Fee & Commission Income 74,997 213,694 60,508 171,344
FX & Trading Income 21,931 47,656 56,591 335,573
Other Income 12,222 35,572 31,930 77,820
Operating Expenses (389,845) (942,671) (231,133) (676,823)
Operating Profit 209,934 565,910 198,501 610,466
Share of Associate Profit 454 627 370 395
Profit Before Tax 210,388 566,537 198,871 610,861
Profit After Tax (Continuing) 174,305 458,075 166,014 526,279
Discontinued Ops (13,209) (7,207) 2,563 7,598
Total PAT 161,096 450,868 168,577 533,877
EPS (₦)** 10.65 14.64 — —
Revenue & Earnings Drivers
Key Drivers
- Strong interest income from loan book expansion & repricing
- Improved credit risk management despite macro pressure
- Robust fee & commission income from electronic banking and trade services
- FX translation relief in Q3 after earlier market volatility
Muted Drivers
- Trading income volatility vs. strong gains in prior year
- Higher operating costs due to inflationary pressure & tech investments
- Losses from discontinued operations (-₦7.2bn)
Profitability & Margins
- Net-interest income up 72% YoY (₦1.50tn vs ₦0.87tn)
- Fee income growth +24.8% YoY
- Lower impairment growth relative to interest income momentum
- Operating expense growth remains elevated due to inflation & expansion spend
Bottom line remained resilient despite cost pressures.
Balance Sheet Overview
₦’million Sep-25 Dec-24
Total Assets 26,399,981 26,524,218
Customer Deposits 17,886,634 17,170,690
Loans to Customers 9,555,588 8,767,888
Total Equity 3,257,110 2,795,334
Key Observations
- Balance sheet expansion driven by lending and liquidity placement strategy
- Deposits growth reinforces market trust and retail penetration
- Strong retained earnings boost Group equity
Strengths
- Strong interest income growth and loan book expansion
- High-quality funding base with strong CASA component
- Resilient asset quality despite macro headwinds
- Strong capital and equity growth
- Diversified earnings across business lines
Weaknesses
- Inflation-driven cost pressure
- FX swings causing income volatility
- Losses from discontinued subsidiaries
- Competition in digital banking driving investment spend
Outlook
The Group is well-positioned for continued growth supported by:
- Further digital banking penetration
- Loan growth moderated by risk-adjusted returns focus
- More stable FX environment boosting treasury income
- Strengthening earnings from non-bank subsidiaries under HoldCo structure
Strategic priorities include:
- Sustained retail and SME banking expansion
- Cost efficiency and digital transformation scaling
- Further diversification of non-interest earnings streams
Analyst View
“FirstHoldCo continues to demonstrate strong earnings resilience, balance-sheet strength and customer deposit leadership. While inflation and FX volatility remain watchpoints, the Group’s capital position, risk management and digital strategy provide a solid platform for sustained profitability and shareholder value creation.”
Conclusion
First HoldCo Plc delivered a strong financial performance in 9M 2025 backed by solid core banking income, improved balance sheet strength, and disciplined risk management. Though cost pressure and discontinued losses pose headwinds, the Group remains resilient with positive earnings momentum and strategic tailwinds supporting future growth.
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Disclaimer
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