First HoldCo Plc recorded a 65.1% increase in profit after tax to N744.45 billion for the nine months ended September 30, 2026, compared with N450.87 billion in the corresponding period of 2025, despite a decline in net interest income.
The financial services group disclosed the performance in its unaudited consolidated financial statements approved by the Board of Directors on October 23, 2026.
Profit before tax increased by 60.8% to N911.24 billion from N566.54 billion, supported by higher fee income, recoveries, gains from financial instruments and lower credit impairment charges.
However, net interest income declined by 16% to N1.26 trillion from N1.50 trillion as interest income fell and funding costs increased.
Interest income decreased by 8.7% to N2.09 trillion from N2.29 trillion, while interest expenses rose to N833 billion from N791.80 billion.
The decline in net interest income highlights the growing contribution of non-interest activities to the group’s profitability.
Net fee and commission income increased by 48.1% to N316.43 billion from N213.69 billion, while foreign exchange gains rose to N86.24 billion from N71.94 billion.
First HoldCo also recorded N104.59 billion in net gains from financial instruments measured at fair value through profit or loss, reversing a N72.78 billion loss in the corresponding period of 2025.
Other operating income surged to N142.06 billion from N23.83 billion, driven partly by recoveries of N94.31 billion, compared with N5.88 billion a year earlier.
The sharp increase in recoveries provided substantial support to earnings, although the contribution raises questions about how much of the improvement can be sustained through recurring banking activities.
Credit impairment charges declined by 28.3% to N207.10 billion from N288.92 billion, reducing the amount deducted from earnings for expected credit losses.
Operating expenses also moderated, with personnel expenses declining to N280.83 billion from N290.65 billion and other operating expenses falling to N519.69 billion from N596.04 billion.
Consequently, operating profit increased by 60.7% to N909.36 billion from N565.91 billion.
For the third quarter alone, profit after tax rose by 35.5% to N218.32 billion from N161.10 billion, although quarterly net interest income declined to N381 billion from N595.75 billion.
The group’s balance sheet expanded during the period, with total assets increasing by 18.1% to N32.20 trillion as of September 30, 2026, from N27.25 trillion at the end of December 2025.
Customer deposits increased by 21.3% to N22.91 trillion from N18.88 trillion, while loans and advances to customers rose by 4.8% to N9.39 trillion from N8.97 trillion.
Investment securities expanded to N10.31 trillion from N6.97 trillion, indicating a substantial increase in the group’s holdings of financial investments.
Meanwhile, borrowings declined to N1.19 trillion from N1.94 trillion, while total shareholders’ equity increased to N3.86 trillion from N3.30 trillion.
Despite the strong earnings performance, the group recorded N228.81 billion in other comprehensive losses, mainly from changes in the value of debt instruments and foreign currency translation adjustments.
This reduced total comprehensive income to N515.64 billion, compared with the N744.45 billion profit reported in the income statement.
Basic earnings per share increased to N16.45 from N10.65, reflecting higher profit attributable to ordinary shareholders.
The results demonstrate First HoldCo’s ability to generate stronger earnings despite pressure on its core interest income, with trading-related gains, recoveries, fee income and lower impairment charges playing important roles in the group’s nine-month performance.