Access Holdings records strong revenue, asset growth in Q3 2025, though rising impairments weigh on profit

By Seun Ibiyemi

Access Holdings Plc has demonstrated resilience and strategic agility in its third-quarter (Q3) 2025 performance, leveraging an aggressive pan-African expansion strategy to deliver robust top-line growth despite a challenging economic terrain.

In results released on October 30, 2025, the Group presented a positive but nuanced picture. While operations across Africa provided significant momentum driving substantial increases in gross earnings and net interest income profitability was tempered by internal risk adjustments, specifically a sharp rise in loan impairment charges and an increased tax burden.

These results underscore the effectiveness of the Group's diversified business model in mitigating risks associated with the Nigerian macroeconomic environment, which remains characterised by high inflation, foreign exchange volatility, and evolving regulatory pressures. In this context, Access Holdings’ ability to scale operations highlights a well-executed strategy to serve as Africa's gateway to the world.

Core earnings remain solid

Access Holdings’ performance was anchored by strong contributions from interest income and fee-based activities. Interest income climbed 21.1 per cent year-on-year to N2.9 trillion, up from N2.4 trillion, bolstered by loan growth and higher asset yields.

The Group’s disciplined risk management and focus on quality lending helped sustain margins in a high-interest rate environment. Net interest income surged by nearly 49 per cent to N1.3 trillion, compared with N845 billion in Q3 2024. Notably, this represents a 28 per cent increase from mid-year levels, achieved despite the rising cost of funds in Nigeria.

Fee and commission income also recorded impressive growth, rising 44.3 per cent to N476 billion from N330 billion in the previous year. This reflects increased customer activity across digital, trade, and payment channels. Sequentially, this income line doubled from the first half of the year, underscoring the expansion of Access Holdings’ transactional franchise.

However, total non-interest income dipped slightly by 8.1 per cent to N872 billion, largely due to lower trading and FX revaluation gains. Nevertheless, strong core banking revenue effectively offset this decline.

Profitability

Profit Before Tax (PBT) rose 10.4 per cent year-on-year to N616 billion. However, Profit After Tax (PAT) stood at N447 billion, marginally below the N458 billion recorded a year earlier, primarily due to higher provisioning.

Quarterly comparisons offer a more optimistic trajectory: PBT nearly doubled from N321 billion in the first half of the year, while PAT surged 108 per cent from N215 billion, reflecting improved operational efficiency and earnings quality in the latter part of the year.

Loan impairments rose sharply to N350 billion from N145 billion as the Group adopted prudent provisions in response to inflation, naira depreciation, and softer corporate cash flows. Despite this, operating expenses remained well-controlled, rising only 6.7 per cent to N1.2 trillion. Consequently, the cost-to-income ratio improved significantly to 54.6 per cent from 60.8 per cent, signaling growing operational efficiency.

Balance Sheet

Access Holdings’ Q3 2025 balance sheet highlights robust asset expansion and meticulous capital management, positioning the Group for future growth across the pan-African landscape.

Total assets grew by 18.2 per cent to N31.6 trillion, underscoring the Group's increasing scale and market dominance.

Customer deposits also icreased by 16.5 per cent to N22.1 trillion, indicating robust customer confidence and a successful retail banking strategy. This deep pool of low-cost funds supports the bank's liquidity and reduces reliance on volatile funding.

Meanwhile, gross loans rose 17.5 per cent to N9.45 trillion, demonstrating a continued commitment to credit disbursement to support economic activity.

The Group’s Total Equity grew moderately to N1.89 trillion, providing a crucial buffer against potential operational and credit losses.

Crucially, management confirmed that Access Holdings has already surpassed the Central Bank of Nigeria's (CBN) new minimum capital requirement of N500 billion, achieving the milestone well ahead of the March 2026 deadline. This strong capital buffer ensures the bank can withstand economic shocks while continuing its strategic investments.

Outlook

Looking ahead, Access Holdings plans to deepen its presence across existing markets, strengthen its digital and payments ecosystems, and expand trade finance services.

"Access Holdings will continue to strengthen our franchise across all markets, deepen operational resilience, and create sustainable value for all stakeholders," the Group stated.

With African economies stabilising and intra-African trade expected to grow under the African Continental Free Trade Area (AfCFTA), Access Holdings’ pan-African reach provides a distinctive strategic edge.