Key Points:
- Nigerian bank led by Femi Otedola reports 316% profit jump in Q1, driven by surge in interest income and gains on financial instruments
- Strategic direction by billionaire chairman credited for FBN Holdings’ expansion and record-breaking performance.
- FBN Holdings’ Q1 results highlight its resilience and solidify its dominance in Nigeria’s financial landscape.
Building on its stellar financial performance in 2023, First Bank of Nigeria Holdings (FBN Holdings), a leading financial services group chaired by Nigerian billionaire Femi Otedola, has delivered another record-breaking financial performance in the first quarter of its 2024 fiscal year.
FBN Holdings soars in Q1, profit after tax jumps 316%
The group’s recently released results show a significant increase in profitability. FBNH reported a net profit of N208.2 billion ($149.7 million) in Q1 2024, a surge of 315.8% from N50.1 billion ($36 million) in the same period last year. This meteoric rise is driven by several factors, with a boom in interest income leading the charge.
Interest income soared to N454.98 billion ($326.5 million) in Q1 2024, up from N179.6 billion ($128.9 million) a year prior. Additionally, fee and commission income saw significant growth, rising from N42.87 billion ($30.8 million) to N63.6 billion ($45.7 million) over the same period.
FBN Holdings maintains position, expands influence under Femi Otedola
Under the strategic leadership of Femi Otedola, FBN Holdings has not only maintained its status as one of Nigeria’s most valuable banking groups but also expanded its influence. Otedola, who is also driving a wave of change in the Nigerian power sector through his company Geregu Power, has played a pivotal role in steering FBN Holdings toward these exceptional results.
Beyond the uptick in interest and non-interest income, FBN Holdings benefited from N288.94 billion ($207.73 million) in gains on financial instruments during Q1 2024. This further cements the group’s position as a dominant force within Nigeria’s financial services landscape.
The group’s financial well-being has shown marked improvement, with total assets climbing to N21.58 trillion ($15.51 billion) by March 31, 2024, from N16.94 trillion ($12.17 billion) on December 31, 2023. Retained earnings also witnessed a significant increase, rising from N588.9 billion ($423.37 million) to N794.4 billion ($571.1 million).
FBN Holdings’ impressive Q1 underscores resilience
FBN Holdings’ strong first-quarter 2024 performance underscores the group’s robust operational strategies and resilience in a dynamic economic environment.
As the parent company of First Bank of Nigeria Limited, Nigeria’s oldest commercial bank, FBN Holdings operates across ten countries, solidifying its footprint in the financial sector both domestically and internationally.
Femi Otedola’s leadership continues to be a driving force behind the group’s sustained growth and expansion, with high expectations for the remainder of the fiscal year.