Wema Bank Plc has reported a profit before tax of N221.8 billion in its audited 2025 financial results, slightly below its earlier unaudited figure of N222 billion. The performance marks a significant 116.4% increase from the N102.5 billion recorded in 2024, driven largely by robust growth in interest income.
At the core of this performance was a sharp rise in interest earnings, which climbed to N576.1 billion from N354.6 billion the previous year. Loans and advances remained the primary contributor, accounting for 60.4% of total interest income, followed by investment securities at 35.5%, while cash and cash equivalents made up the balance.
The bank’s profitability was further supported by non-interest income streams, particularly fees and commissions, helping to lift earnings per share to N7.12 from N4.83 in 2024.
Wema Bank delivered broad-based growth across key financial indicators. Interest income rose by 62.4% year-on-year to N576.07 billion, while interest expenses increased at a slower pace of 21.1% to N215.09 billion. This translated into a net interest income of N360.98 billion, more than doubling the previous year’s figure.
Operating income also surged by 79.6% to N420.61 billion, underpinning the bank’s strong earnings momentum. Profit before tax came in at N221.89 billion, while profit after tax rose even faster, up 125.4% to N194.47 billion.
A closer look at the bank’s income structure shows loans and advances generating N348.2 billion in interest income, while investment securities contributed N204.4 billion. Cash and cash equivalents added N23.3 billion.
Despite rising funding costs, which pushed interest expenses to N215 billion, the bank maintained a strong margin, closing with net interest income of N360.9 billion. After accounting for impairment charges of N25.6 billion, net interest income stood at N335.2 billion, more than double the N155.4 billion recorded in 2024.
On the non-interest side, fee and commission income increased to N75.5 billion from N55.5 billion, while trading activities brought in N8.3 billion. Additional income streams, including gains on investment securities and other sources, contributed to the total operating income of N420.6 billion, up from N234.2 billion in the prior year.
Operating expenses rose to N198.7 billion, reflecting the scale of operations, but were outpaced by revenue growth, allowing profit before tax to expand significantly. After a tax charge of N27.4 billion, net profit settled at N194.4 billion.
Wema Bank’s balance sheet also recorded notable growth. Total assets increased by over 41% to N5.07 trillion, up from N3.5 trillion in 2024. Loans and advances to customers stood at N1.7 trillion, representing the largest share of the asset base.
Shareholders’ equity more than doubled to N620.4 billion from N256.4 billion, supported by retained earnings of N215 billion, an increase of 108.3% year-on-year. Total liabilities rose to N4.4 trillion, with customer deposits accounting for the majority at N3.2 trillion.