Stanbic IBTC Holdings PLC has kickstarted the 2026 financial year with an aggressive shift in its earnings mix in the first quarter (Q1). While traditional lending took a backseat—evidenced by a ₦1 trillion drop in loans since December—the group’s trading desk delivered a masterclass in market timing.
The Group recorded 40% profit growth to ₦115 billion in the First Quarter (Q1) of 2026, largely due to a boost in trading income.
Net Interest Income fell marginally by 9.3% to ₦135.8 billion in the period from ₦149.89 billion in 2025, Q1 reflecting lower interest rates and yields on government securities.
Interest expense surged 65% to ₦50.49 billion reflecting higher interest deposits.
By pivoting heavily into Treasury Bills and Fixed Income, the bank managed a 145% surge in non-interest revenue to ₦130.3 billion in Q1, 2026, compared to ₦53.1 billion in 2025, more than offsetting a marginal dip in net interest income.
This was largely led by trading revenue from Fixed income and currencies which jumped to ₦55.16 billion in the Q1, 2026 period from negative or –₦6.97 billion in 2025.
Q1 2026 Financial Scorecard: The Non-Interest Engine
The quarter was defined by a pivot from “Risk Assets” (Loans) to “Trading Assets” (Securities), capitalizing on the volatile yield environment.
| Metric | Q1 2025 | Q1 2026 | % Change |
| Gross Revenue (Total Income) | ₦203.00 Billion | ₦266.13 Billion | +31% |
| Trading Revenue | (₦6.97 Billion) | ₦55.16 Billion | Recovery |
| Net Interest Income | ₦149.89 Billion | ₦135.80 Billion | -9.3% |
| Profit After Tax (PAT) | ₦82.00 Billion | ₦115.00 Billion | +40% |
| Total Assets | — | ₦9.70 Trillion | Growth |
Source: Stanbic IBTC, MoneyCentral
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The Trading Flip: The most dramatic shift was in Fixed Income and Currencies, which swung from a loss last year to a ₦55.16 billion gain. This suggests the bank correctly positioned its book ahead of the Q1 yield spikes.
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Cost of Funds: Interest expense surged 65%, reflecting the high-competition environment for deposits as the CBN maintains its “orthodox” tightening stance.
Asset Allocation: The Move to T-Bills
Stanbic’s balance sheet reflects a “flight to safety” and liquidity. The group significantly reduced its credit exposure to “sweat” government securities.
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Treasury Bill Surge: Exposure to T-Bills exploded to ₦1.291 trillion, up from just ₦331 billion in December 2025. This 290% increase underscores the bank’s strategy to capture risk-free yields rather than expanding its loan book.
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Loan Contraction: Loans and advances dropped to ₦2.83 trillion from ₦3.84 trillion in December. This deleveraging suggests a cautious approach to the private sector amidst the 15.38% inflation and war-related macro-shocks.
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Liquidity Buffer: The bank had ₦2.21 trillion in cash and equivalents, arguably one of the most “liquid” tier-two players.
Operational Leanliness: 1% Impairment
Despite the turbulent macro environment, Stanbic’s asset quality remains peer-leading.
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Minimal Charges: Net impairments were just ₦2.87 billion, a mere 1.07% of total income.
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Fee Momentum: Net fee and commission revenue rose to ₦75.44 billion, driven by the bank’s dominant Wealth Management and Pension (Pfa) business, which continues to provide a stable, “sticky” income base.
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