The Chairman of FirstHoldCo, Femi Otedola, says the company’s earning marks a new chapter of growth, resilience and value creation
FirstHoldCo Plc has reported another outstanding financial performance for the half year ended June 30, 2026.
Most notably, profit before tax rose by an impressive 83.5 per cent to ₦653.5 billion.
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.
The result reflects a business that is emerging successfully from a period of strategic balance sheet transformation and is now firmly positioned on a trajectory of sustainable growth, enhanced profitability and long-term value creation for its numerous stakeholders and shareholders.
Undoubtedly, this is yet another stellar performance, delivering robust growth across key performance indicators and reinforcing FirstHoldCo’s position as one of Africa’s leading financial services groups.
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.
Building on the strong momentum established in the first quarter of 2026, the half-year result signals 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.
Today, the Group is better capitalised, more efficient, increasingly diversified, and strategically positioned to capitalise on emerging opportunities across the financial services landscape.
At the heart of the Group’s performance is an increasingly resilient earnings platform.
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.
The result is an earnings profile that is not only stronger but also more balanced and sustainable, providing a solid foundation for consistent growth regardless of market conditions.
Another key highlight 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.
This performance further highlights the benefits of the Group’s ongoing investments in technology, operational excellence and productivity enhancement, positioning it to generate even greater value for shareholders.
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.
Another clear demonstration of the Group’s strong risk management capability was the recovery of approximately ₦91.9 billion during the first half of the year. This reflects sustained success in extracting value from legacy exposures and reinforces management’s commitment to prudent risk stewardship.
As part of its growth strategy and robust risk oversight, the Group remains focused on reducing non-performing loans, accelerating recoveries, strengthening portfolio quality and originating high-quality assets capable of generating sustainable long-term returns.
Another significant and commendable milestone during the period was the restoration of FirstBank’s Capital Adequacy Ratio ahead of schedule, providing further evidence of the effectiveness of the Group’s recapitalisation and earnings retention initiatives.
As of June 30, 2026, FirstBank’s Capital Adequacy Ratio stood at 16.7 per cent, while its liquidity ratio remained exceptionally strong at 52.2 per cent.
This achievement provides a solid platform for future expansion and further strengthens the Group’s capacity to support customers, pursue growth opportunities and deliver sustainable long-term value.
The Group’s non-banking businesses also continued to gain traction and are now playing an increasingly important role in earnings diversification.
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. These businesses are helping to deepen customer relationships, broaden revenue streams and position FirstHoldCo as a truly diversified financial services group.
The Group Chairman of FirstHoldCo Plc, Femi 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, also commented on the performance, saying: “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.”
He added: “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.”
With restored capital, strong liquidity, improving asset quality and a diversified earnings platform, FirstHoldCo enters the second half of 2026 from a position of strength. The Group remains focused on disciplined growth, prudent risk management, operational excellence and the delivery of sustainable value for shareholders and all stakeholders.
