Why It Looks Like First HoldCo Profit Crashed By 92%-Otedola
Yinka Olajoyetan, Lagos
Chairman of First HoldCo, Femi Otedola at the weekend revealed that the bank took a huge one time hit of ₦748bn in its decission to clean up bad loans instead of pretending they do not exist.
Mr. Femi Otedola. Chairman, First Bank
In a post on X, the First HoldCo Chairman said this is why profit looks like it crashed by 92%.
According to Mr. Femi Otedola, “At First HoldCo we decided to clean house properly. We took a huge one time hit of ₦748bn to admit old bad loans instead of pretending they do not exist. That is why profit looks like it crashed by 92%. Painful headline, but it is a serious long term move.
“Why do this now? Because the Central bank is pushing banks to stop kicking problems down the road. So First HoldCo basically closed the chapter on messy loans from past years which sends a clear message that borrowing has consequences and it helps rebuild trust.
“The key point is this: our business itself is STILL strong. It made ₦2.96tn in interest income and ₦1.91tn in net interest income, which gave it the strength to take the clean up and still stay standing.
“Now at @FirstBankngr and beyond we go into 2026 lighter, cleaner and better prepared for the recapitalisation era and serious growth.
“Bad loans cleared + strong income engine + long term thinking = real value creation.”
