By Olusegun Obisanya
Sterling Financial Holdings Company Plc has reported a 20.4 per cent increase in profit after tax for the half-year ended June 30, 2026, as the financial services group recorded strong growth in earnings, deposits, loans and shareholders’ funds.
The group’s unaudited financial results released on Thursday showed that profit after tax rose to ₦50.3 billion from the corresponding period of 2025, while profit before tax increased by 21.9 per cent to ₦55.5 billion.
The performance was underpinned by higher interest income, improved asset yields and growth in customer deposits, reflecting the group’s sustained expansion across its banking and financial services businesses.
Gross earnings climbed by 31.5 per cent to ₦279.6 billion, compared with the same period last year. Interest income rose by 33.7 per cent to ₦223.6 billion, driven by growth in the loan portfolio and improved returns on earning assets.
Net interest income also increased significantly by 41 per cent to ₦137.4 billion, while non-interest income rose by 23.3 per cent to ₦56 billion, supported by stronger fee-based earnings and growth in other operating income streams.
The group’s balance sheet remained robust during the review period, with total assets expanding by 19.3 per cent to ₦4.67 trillion.
Customer deposits grew by 21.1 per cent to ₦3.62 trillion, providing additional liquidity to support lending activities and business expansion.
Sterling Financial also strengthened its capital position, with shareholders’ funds increasing by 27.8 per cent to ₦547.7 billion. The growth was largely attributed to the successful ₦96.6 billion public offer through which the company raised fresh capital by issuing 13.8 billion ordinary shares.
The company stated that its strong half-year performance was driven by improvements across its businesses and operational efficiency.
According to the statement, “the Group’s performance is anchored by its ongoing modernisation of its technology stack and operating model across its commercial (Sterling Bank), non-interest (AltBank), and wealth management (SterlingFI) arms.”
It added that the investments in technology were already yielding results, noting that “that work is showing up in faster service turnaround, tighter unit economics, and greater headroom to absorb rising customer activity without loosening the Group’s risk posture.”
The group also reported improvements in profitability ratios, with return on average equity standing at 20.6 per cent, while return on average assets improved to 2.35 per cent from 2.05 per cent recorded in the corresponding period of last year.
Sterling Financial expressed confidence that its strengthened capital position would support sustained growth in the months ahead.
According to the financial institution, “The combination of a reinforced capital base, expanding deposit franchise, and broader earnings mix leaves Sterling Financial positioned to compound growth in the second half of the year, channelling capital where it earns most and continuing to lend into the real economy.”
It also noted that its share price had appreciated by more than 15 per cent since the beginning of the year, reflecting growing investor confidence in its long-term growth strategy, while basic earnings per share stood at 77 kobo following the enlarged share base after the public offer.Adding the quotations makes the story read more like a newspaper business report while preserving the objective reporting style. Godwin.
