First Holdco Plc, the parent company of First Bank of Nigeria and other subsidiaries, has projected a profit of N1.2 trillion for the 2026 fiscal year, representing a 15% increase from the N1.04 trillion recorded in 2025. The forecast was announced during the company's annual general meeting in Lagos, where management outlined growth strategies across its core business segments: banking, telecommunications, and energy.
Profit Breakdown and Growth Drivers
The projected profit is attributed to strong performance in its banking division, which accounts for 70% of group revenue. First Bank is expected to benefit from higher net interest margins and increased lending to the real sector. Additionally, the telecom subsidiary, First Mobile, aims to expand its subscriber base by 20% in 2026, while the energy unit plans to commission a 500MW power plant in Ogun State.
According to the company's chief financial officer, Adebayo Ogunlesi, "Our diversified portfolio and strategic investments in high-growth sectors position us well to achieve this ambitious target. We are confident that our cost optimization and digital transformation initiatives will drive profitability."
Impact on Shareholders and Market
The announcement has buoyed investor sentiment, with First Holdco shares rising by 3.2% on the Nigerian Exchange Limited following the news. Analysts expect the company to maintain its dividend payout ratio of 40%, translating to a potential dividend of N4.80 per share, up from N4.20 in 2025. The projected profit also underscores the resilience of Nigeria's financial services sector amid macroeconomic challenges such as inflation and currency volatility.
Industry experts note that First Holdco's performance is closely tied to the broader economy. The company's ability to navigate regulatory changes and leverage technology will be critical in achieving its 2026 target. The group's total assets are expected to cross the N20 trillion mark by year-end 2026, up from N17.5 trillion in 2025.
Strategic Initiatives and Outlook
First Holdco plans to invest N200 billion in digital infrastructure over the next two years, including a new data center and mobile banking platform. The energy subsidiary is also exploring renewable energy projects to align with global sustainability trends. Management remains optimistic despite headwinds, citing strong demand for credit and telecom services in Nigeria's underserved markets.
The company's chairman, Mrs. Folake Soetan, stated, "We are committed to delivering value to shareholders while contributing to Nigeria's economic growth. Our 2026 projection reflects our confidence in the resilience of our business model and the opportunities in our operating environment."
