First Holdco Plc has reported remarkable financial results for the year ending December 31, 2024, with a significant surge in its pre-tax profit, which increased by 124.77% to reach N781.88 billion, up from N347.87 billion in 2023. The company’s profit after tax also saw impressive growth, rising by 115.12% to N663.49 billion. Gross earnings experienced a substantial rise of 105.71%, reaching N3.212 trillion.
With 35.90 billion shares outstanding, the company’s financial performance for the year reflects robust growth across all major metrics. Gross earnings for 2024 stood at N3.213 trillion, a 105.75% increase year-on-year. Interest income, which contributed significantly to the overall performance, surged by 155.95% to N2.397 trillion, while interest expense rose by 155.16%, amounting to N996.119 billion. The company’s net interest income, after expenses, grew by 156.51% to reach N1.401 trillion.
Despite a rise in impairment charges, which grew by 80.51% to N426.294 billion, the company’s net interest income after impairment showed an extraordinary increase of 203.42%, reaching N975.015 billion. In addition, the company recorded a rise of 30.91% in net fees and commission income, which stood at N244.889 billion. Basic earnings per share increased by 114.65%, amounting to N18.31.
In terms of liquidity, First Holdco saw its cash and cash equivalents rise by 71.64%, totalling N4.415 trillion. Loans and advances to customers grew by 37.88%, reaching N8.768 trillion, while total assets increased by 56.60%, totalling N26.524 trillion. Customers’ deposits surged by 61.03%, amounting to N17.171 trillion, and shareholders’ funds grew by 60.01%, reaching N2.795 trillion.
A major driver of First Holdco’s performance was its significant growth in interest income, which now makes up 75% of gross earnings, a notable increase from 60% in 2023. The strong performance in interest income was driven by an increase in loans and advances to customers, which now account for 64% of interest income. Additionally, securities investment grew by 134%, contributing 35% of interest income.
Although higher interest expenses, particularly from customer deposits, impacted profitability, First Holdco’s net interest income after impairment charges saw a staggering increase of 203%, reaching N975.02 billion. Non-interest income also performed well, with fees and commissions increasing by 38%, driven by electronic banking fees, credit-related fees, and funds transfer/intermediation fees. The company also recorded gains of N549.99 billion from financial instruments, contributing 17% of gross earnings.
Despite facing a significant tax burden due to a windfall tax levy of N33.49 billion, which resulted in a 179% increase in tax expenses, bringing the total to N132.98 billion, the company’s financial health remains solid. Over 75% of the company’s assets are comprised of customer and institutional deposits. Shareholders’ equity has also grown, supported by higher retained earnings and a favourable currency translation reserve.
In line with the Central Bank of Nigeria’s capital requirements, First Holdco launched a N149 billion rights issue in November 2024, and the company is working towards meeting the new capital threshold by February 2026. As of April 17, 2025, the company’s share price stood at N24.60, reflecting a 12.3% decline year-to-date.