First HoldCo to pay at least 60% of annual profit as dividend

First HoldCo Plc has unveiled a new dividend policy that commits the company to paying shareholders at least 60 percent of its annual profit after tax (PAT), subject to regulatory approval.

The financial services group disclosed in a statement on Friday that its board approved the policy during a meeting held on July 28. It said the move was based on its positive earnings outlook, stronger capital position, better asset quality, and a more diversified revenue stream.

Speaking on the development, Femi Otedola, chairman of First HoldCo, said the decision demonstrates the board’s confidence in the company’s performance and its focus on delivering value to shareholders.

“This resolution demonstrates the Board’s confidence in the strength of our franchise, the sustainability of our earnings, and our commitment to delivering tangible value to shareholders,” Otedola said.

Otedola added that the group has spent the last two years improving corporate governance, strengthening its balance sheet, boosting capital, and positioning the business for sustainable growth.

“We are now beginning to see the benefits of those strategic decisions. As performance continues to improve across our businesses, it is only appropriate that our shareholders participate more directly in the value being created.”

The announcement comes after the release of the group’s financial results for the six months ended June 30, 2026.

First HoldCo posted gross earnings of ₦1.93 trillion, representing a 16.7 percent increase from the same period in 2025, while operating income climbed 25.8 percent to ₦1.38 trillion. Its profit before tax rose by 83.5 percent to ₦653.5 billion, while profit after tax increased by 81.6 percent to ₦526.1 billion.

The group also recorded total assets of ₦30.6 trillion, alongside customer deposits valued at ₦21.9 trillion.

According to the company, non-interest income grew to ₦497.1 billion, driven by higher earnings from electronic banking, trade services, funds transfers, brokerage, asset management, and investment banking operations.

It also said its investment banking and asset management businesses generated approximately N46 billion in gross earnings and ₦27.4 billion in profit before tax during the first half of the year.

The company further stated that FirstBank’s capital adequacy ratio (CAR) has been restored above the regulatory threshold earlier than expected following its recapitalisation programme.

First HoldCo added that it is on track to meet its ₦1 trillion paid-in capital target while continuing to support business expansion and reward shareholders.