Sterling Financial Holdings Company Plc posted a 157 percent increase in profit after tax for the first half of 2025.
According to the group’s unaudited financial statements for the six months ended June 30, profit after tax rose to N41.8 billion, up from N16.3 billion in the same period last year. This growth was driven by growth across interest and non-interest income lines and improved cost efficiency.
Gross earnings climbed 39.7 percent year-on-year to N212.61 billion, boosted by a 38.3 percent increase in interest income to N167.16 billion, and a 45 percent rise in non-interest income to N45.45 billion. Earnings per share stood at 89 kobo, reflecting the group’s strengthened bottom line.
Read also: Sterling Holdings’ 129% profit surge beats projections in Q1
Sterling also improved its operational efficiency, with its cost-to-income ratio declining to 64.5 percent, from 75.7 percent a year earlier.
The group’s total assets grew by 15.3 percent to N4.08 trillion, up from N3.54 trillion at the beginning of the year. Shareholders’ funds rose by 22.9 percent, bolstered by retained earnings and the impact of recent capital injections.
Asset quality showed signs of improvement, with the non-performing loan (NPL) ratio dropping to 5.1 percent, from 5.4 percent at the start of the year.
The performance comes on the heels of a successful capital raising exercise in the first half, in which the group secured approximately N100 billion through a private placement and rights issue. The proceeds were used to recapitalise Alternative Bank and strengthen the capital base of Sterling Bank, its flagship subsidiary.
Sterling Holdco is preparing to launch the public phase of its capital programme in the coming weeks. The offer seeks to raise N53 billion to meet Sterling Bank’s recapitalisation requirements and is part of a broader $400 million capital raising plan approved by shareholders at the company’s annual general meeting on June 30.
Read also: Sterling gets shareholders nod to raise $400m
Group Chief Executive Officer Yemi Odubiyi said the results reflect the group’s resilience and strategic focus.
“Our outstanding half-year results are the product of clear strategic focus and a relentless drive to create lasting value for our stakeholders,” Odubiyi said. “Looking ahead to the next phase of our capital programme, we see tremendous opportunity to deepen our footprint in Nigeria’s growth sectors and catalyse meaningful progress for our customers, communities, and the broader economy.”
