Sterling Financial Holdings Company Plc, the parent company of Sterling Bank and The Alternative Bank, has reported a strong improvement in performance for the 2025 financial year, driven by tighter cost control and solid revenue growth.
In its full-year interim financial results, the Group said its cost-to-income ratio declined to 63 per cent in 2025, down from 72 per cent in the previous year, reflecting improved operational efficiency.
Profit before tax rose sharply by 99 per cent year-on-year to N90.7bn, underscoring the Group’s focus on managing operating expenses while expanding income streams.
Sterling HoldCo’s balance sheet also strengthened during the year, with total assets increasing by 11 per cent to nearly N4tn. Customer deposits grew by 18 per cent to N2.98tn, highlighting increased customer engagement and wider adoption of the Group’s banking products.
Gross earnings climbed 46 per cent year-on-year to N476.5bn, supported by growth in both interest and non-interest income. Interest income rose by 43 per cent to N369.6bn, driven by higher loan volumes and improved yields on investment securities.
Non-interest income expanded by 57.3 per cent, reflecting stronger trading income as well as growth in fees and commissions across the Group’s operations.
The Group also recorded a significant improvement in its capital position. Shareholders’ funds increased by 39 per cent to N424bn, providing additional capacity to support future growth across its banking subsidiaries.
According to the company, the stronger capital base means its subsidiaries have met the Central Bank of Nigeria’s recapitalisation requirements ahead of the March 2026 deadline. This was achieved through a series of capital-raising initiatives, including a public offer of more than N88bn to strengthen Sterling Bank’s balance sheet, as well as an earlier capital injection that enabled The Alternative Bank to attain national non-interest banking status.
The results highlight Sterling HoldCo’s diversified earnings base, disciplined capital deployment, and improved operating structure, positioning the Group to compete more effectively in Nigeria’s increasingly competitive financial services sector.
