Fidelity Bank Posts 45.6% Earnings Surge, Raises NGN227 Billion, Records NGN194 Billion Swap Loss
Fidelity Bank’s gross earnings climbed 45.6% to NGN1.52 trillion as net interest margin improved to 12.3% and noninterest revenue jumped 138.3%, lifting net interest income to NGN831.4 billion. A NGN227 billion private placement boosted regulatory capital above NGN500 billion but a NGN194 billion swap loss and suspended dividend may pressure returns.
1. Earnings Highlights
Fidelity Bank reported a 45.6% increase in gross earnings to NGN1.52 trillion for full year 2025, driven by a 36.6% rise in interest income and a 138.3% surge in noninterest revenue, lifting net interest margin to 12.3% and net interest income to NGN831.4 billion.
2. Capital Raise and Swap Loss
The bank completed a NGN227 billion private placement, raising regulatory capital above the NGN500 billion Tier 1 threshold, while recording a NGN194 billion unrealized loss on a total return swap due to naira depreciation.
3. Dividend Policy and Future Plans
No dividend was declared for 2025 to preserve capital given rising operating expenses and limited 2% loan growth; the UK subsidiary posted its first operating profit and management plans to launch 2–5 new African subsidiaries over the next two years.