Femi Otedola leads FBN Holdings to $371.9 million profit in 9M 2024

Omokolade Ajayi -
Key Points
  • FBN Holdings' profit surged 125% to N526.28 billion ($319.52 million) for 9M 2024, up from N234.05 billion ($142.1 million) in 2023.
  • Interest income soared to N1.63 trillion ($990.3 million), with fees and commissions also increasing significantly, driving overall profitability.
  • Total assets grew to N27.49 trillion ($16.65 billion), reflecting strong financial management and Otedola’s strategic leadership at FBN Holdings.

First Bank of Nigeria Holdings (FBN Holdings), the Lagos-based financial services group chaired by Nigerian billionaire Femi Otedola, reported a remarkable financial performance for the nine months (9M) ending Sept. 30, 2024, significantly boosting its profitability.

The group, the parent of First Bank of Nigeria, the country’s oldest commercial lender, more than doubled its earnings, with profit jumping 128.2 percent to N610.5 billion ($371.7 million) in the first nine months of 2024 from N267.5 billion ($162.9 million) a year earlier.

Strong income growth fuels profit surge

The impressive financial results are attributed to significant growth across key income streams, including interest income, fee, and commission income, and fair value gains on financial instruments.

Interest income grew from N617.06 billion ($374.64 million) to N1.63 trillion ($990.3 million), while income generated from fees and commissions increased from N115.05 billion ($69.84 million) to N171.34 billion ($104.1 million).

Net gains on financial instruments at fair value soared to N551.76 billion ($335 million), reflecting strong market conditions and effective financial management.

Femi Otedola drives growth at FBN Holdings

FBN Holdings, with a rich 130-year legacy, continues to strengthen its foothold as one of Nigeria’s most valuable financial institutions. Since Femi Otedola assumed leadership, the group has experienced a period of sustained growth, bolstered by his strategic direction and influence.

Otedola, who holds a 13.16-percent stake in the company, has been instrumental in steering FBN Holdings through financial and operational advancements, further cementing his status as one of Nigeria's leading business figures.

His leadership extends beyond banking; he is also at the helm of one of Africa’s fastest-growing power companies, Geregu Power Plc, amplifying his influence in Nigeria's economic landscape.

FBN Holdings’ assets reach $16.65 billion under Femi Otedola

The impressive performance of FBN Holdings this year has also resulted in significant asset growth. Total assets surged from N16.94 trillion ($10.26 billion) at the end of 2023 to N27.49 trillion ($16.65 billion) as of Sept. 30, 2024.

The group’s retained earnings climbed from N588.97 billion ($357.2 million) to N1.11 trillion ($674 million), further underscoring its strong financial foundation and growth trajectory.

Under Otedola's leadership, FBN Holdings has navigated economic challenges, maintaining profitability and leadership in Nigeria’s banking sector. The group is positioned for growth, leveraging Otedola’s expertise to expand its influence in financial services.