Fidelity Bank Reports Growth in Deposits, Loans, Boosts Financial Stability in Q1 2025

• Fidelity Bank Plc reported a profit before tax of N105.8 billion for Q1 2025, marking a 167.8% increase compared to the same period in 2024.
• The bank's gross earnings grew by 64.2%, driven by a 38.6% year-over-year expansion in earning assets and higher non-interest revenue.
• Other key highlights include a rise in total deposits by 11.1% and net loans reaching N4.6 trillion, showcasing the bank's strong financial performance

Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.

Fidelity Bank Plc reported a profit before tax (PBT) of N105.8 billion for the first quarter (Q1) of 2025.

This is contained in its unaudited financial statements submitted to the Nigerian Exchange Limited (NGX) on April 30, 2025.

The bank stated that this PBT represents a growth of 167.8% over the N39.5 billion reported in Q1 2024.

Gross earnings increased by 64.2% year-over-year (YoY) to N315.4 billion from N192.1 billion during the same period the previous year, according to the report.

“Growth in interest income was primarily driven by a 38.6% YoY (7.4% YTD) expansion in the earning assets base, while the increase in non-interest revenue came from FX-related income, trade, and commissions on banking services, etc., supported by increased customer transactions,” Fidelity Bank said.

Chief Executive Officer (CEO) and Managing Director of Fidelity Bank Plc, Nneka Onyeali-Ikpe, commented on the outcome, saying it shows the bank's resilience and sets it up for even better results in 2025.

“We started the year with triple-digit growth in profit and sustained the momentum in our earning assets growth,” Onyeali-Ikpe said.

“This performance shows the resilience of our business model and reinforces our confidence in delivering a better result in the 2025 financial year.”

Strong performance was also shown in other areas of the unaudited financial statements. For example, total deposits increased by 11.1% year-to-date (YTD) to N6.6 trillion from N5.9 trillion in December 2024, with low-cost deposits growing by 10.6% YTD to N6.1 trillion, or 92.2% of total customer deposits.

Foreign currency deposits increased by 21.4%, from $1.9 billion in December 2024 to $2.3 billion, while local currency deposits increased by 2% year-to-date, according to Fidelity Bank.

The report states that net loans and advances reached N4.6 trillion, up by 5.0 percent year-to-date.

It stated that local currency (LCY) loans accounted for the majority of the bank's loan book expansion and that the cost of risk decreased from 1.5% in the 2024 fiscal year to 0.6%.

The bank's impressive start to the year, according to Onyeali-Ikpe, demonstrates its dedication to promoting growth for both individuals and companies while bolstering financial stability.

“Beginning the year with such positive momentum reinforces our commitment to supporting the growth of individuals and businesses, while enhancing our financial sustainability,” she said.

The CEO added that for the remainder of the year, the bank would continue to concentrate on creating a strong organisation with a diverse revenue stream.

Fidelity Bank gets approval for second phase of capital-raising

Legit.ng reported that after successfully completing the first phase of its capital-raising operations, which witnessed a considerable oversubscription of its Public Offer and Rights Issue, Fidelity Bank Plc has obtained the consent of its shareholders to move forward with the second step.

As the bank moves closer to fulfilling the Central Bank of Nigeria's (CBN) N500 billion minimum regulatory capital requirement for banks with international authorisation by March 31, 2026, it has also increased its issued share capital from N26.7 billion to N36.7 billion, strengthening its financial foundation.

Fidelity Bank revealed in a notification submitted to the Nigerian Exchange Limited (NGX) that the approvals were made at an Extraordinary General Meeting (EGM) on February 6, 2025.

Source: Legit.ng