First HoldCo's Profit Plummets 79% Amid Rising Pay

First HoldCo Plc, the parent company of FirstBank Nigeria, experienced a significant 79.4% decline in profit for the 2025 financial year, with earnings falling to ₦139.5 billion from ₦677 billion in 2024. This sharp drop coincided with a 101% increase in remuneration for the group's highest-paid director, whose pay rose from ₦97 million in 2024 to ₦195 million in 2025.

The company's profit before tax also decreased by approximately 70.5% to ₦235 billion, despite a 6.9% rise in gross earnings to ₦3.44 trillion. Major cost items contributed to this decline, with impairment charges increasing by 93.8% to ₦826.3 billion and operating expenses climbing 32.1% to ₦1.23 trillion.

The disparity between rising executive compensation and declining profitability has raised questions among shareholders regarding the appropriateness of such remuneration structures, particularly as the group’s non-performing loan ratio increased from 10.2% to 12%.