Sterling HoldCo Posts 157% Profit Surge, Unveils Plans for Public Offer

Sterling HoldCo Posts 157% Profit Surge, Unveils Plans for Public Offer

Lagos, Nigeria – July 31, 2025: Sterling Financial Holdings Company Plc (Sterling HoldCo) has reported an impressive 157% year-on-year increase in profit after tax (PAT) for the half-year ended June 30, 2025, as part of its unaudited financial results released on Wednesday. The Group also disclosed plans to launch a public offer as part of its broader recapitalisation strategy.

Sterling HoldCo’s PAT rose to ₦41.78 billion, a significant leap from ₦16.26 billion recorded during the same period in 2024. Earnings per share also grew from 56 Kobo to 89 Kobo, reflecting increased returns to shareholders.

The Group’s gross earnings surged by 39.7% to ₦212.61 billion, up from ₦152.20 billion in H1 2024. This growth was driven by a 38.3% rise in interest income to ₦167.16 billion and a 45% boost in non-interest income, which stood at ₦45.45 billion. The performance underscores Sterling HoldCo’s strategic emphasis on diversifying its income base.

Operational efficiency also saw marked improvement, with the Group’s cost-to-income ratio declining to 64.5%, from 75.7% in the previous year. Total assets grew by 15.3% to ₦4.08 trillion, up from ₦3.54 trillion as of December 2024.

Shareholders’ funds rose by 22.9%, driven by successful recapitalisation efforts and robust retained earnings. Asset quality also improved, as the non-performing loan ratio fell to 5.1%, down from 5.4% at the close of 2024.

Sterling HoldCo’s performance follows a successful private placement and rights issue that raised about ₦100 billion. These funds were used to fully recapitalise Alternative Bank and enhance the capital strength of Sterling Bank, the Group’s flagship subsidiary.

To further bolster its financial standing, the Group announced it will soon launch a public offer aimed at closing the remaining ₦53 billion recapitalisation gap for Sterling Bank. The offer is part of a US$400 million capital raising programme approved by shareholders during the company’s Annual General Meeting held on June 30, 2025.

Group CEO, Yemi Odubiyi, attributed the impressive results to strategic focus and a resilient business model.

“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.
“As we continue to diversify our income streams and invest in operational efficiency, we remain committed to responsible growth, prudent risk management, and sustainable impact.”

He added that the upcoming capital raise would enable Sterling HoldCo to deepen its investments across Nigeria’s high-growth sectors and support long-term economic development.

The Group’s investments in renewable energy, healthcare, and community development were also highlighted as evidence of its ongoing commitment to national progress.

With strong momentum in the first half of 2025, Sterling HoldCo said it remains focused on sustainable growth, innovation, and delivering long-term value to its stakeholders in the months ahead.