May 08, (THEWILL) — FirstHoldCo Plc delivered a standout first-quarter 2026 performance, with profit before tax rising sharply to ₦321.12 billion from ₦186.48 billion in the same period last year, underscoring a strong recovery following its 2025 balance sheet overhaul.
The result places FirstHoldCo among Nigeria’s top-tier lenders by earnings, trailing only Zenith Bank, which reported ₦360.91 billion in PBT, and ahead of Guaranty Trust Holding Company and Access Holdings.
The performance marks a turning point for the group after a deliberate clean-up strategy in 2025, when it booked a ₦826.3 billion impairment charge to resolve legacy non-performing loans. That move, while painful, has now freed up the balance sheet to fully benefit from Nigeria’s high-interest-rate environment, where the Central Bank of Nigeria has maintained a 26.5 percent policy rate.
A key highlight in the quarter was the group’s Return on Equity, which surged to 31.6 percent , a sharp rebound from 4.6 percent at the end of 2025 and one of the strongest in the industry. The improvement reflects stronger earnings generation relative to capital, even as banks adjust to recapitalisation pressures.
Growth was driven largely by lending activity, with interest income from loans and advances rising 27.8 percent year-on-year to ₦465.6 billion, signalling a strategic tilt toward higher-yield private-sector credit. At the same time, operational efficiency improved, with the cost-to-income ratio declining to 45.2 percent despite rising expenses, as revenue growth outpaced costs.
Loan recoveries also strengthened significantly, with non-interest income boosted by a jump in recoveries to ₦19 billion, highlighting improved asset quality.
With total assets at ₦26.8 trillion, FirstHoldCo enters 2026 leaner, more efficient, and better positioned for sustained profitability.
Ogochukwu Onwaeze is a writer specializing in business and economic journalism. At THEWILL News Media, she translates market trends, financial developments, and policy shifts into clear and engaging stories.
