Access Bank Profit plunged 23% despite boasting ₦2.5 trillion earnings.
NaijaOnPoint Nigeria reports that Access Holdings Plc’s financial performance for the first half of 2025 paints a worrying picture despite headline growth in revenue.
According to its H1 2025 audited report released to the Nigerian Exchange Limited (NGX), the Group’s profit after tax (PAT) nosedived by 23.3 percent, falling to ₦215.9 billion from ₦281.3 billion recorded in the same period last year. Profit before tax (PBT) also dropped by 8.1 percent to ₦320.6 billion, signaling weaker profitability despite a surge in gross earnings.
While the Group’s gross earnings rose by 13.8 percent year-on-year to ₦2.5 trillion, analysts say the rise reflects inflationary effects and higher interest rates rather than genuine operational growth.
Even more concerning is the sharp decline in return on average equity (ROAE) plunging to 11.4 percent in 2025 from 22.4 percent in 2024 indicating that Access Bank is delivering less value to shareholders despite expanding assets.
Although net interest income nearly doubled and fees and commission income rose modestly, the profit slump suggests that the Group’s mounting costs and market headwinds are eating deep into margins.
The results come at a time when Nigerian banks face mounting regulatory pressure, high funding costs, and stiff competition in digital banking. Despite the Group’s upbeat tone about its subsidiaries, including ARM Pensions and Hydrogen Payments, the overall picture shows Access Holdings struggling to convert its massive revenues into sustainable profit growth.
Analysts warn that if the downward profit trend continues, the bank’s aggressive expansion strategy may start eroding investor confidence.