NPF Microfinance Bank Maintains Strong Asset Quality, Records N2.91bn profit after tax
By allcitynews.ng
Nigeria Police Force (NPF) Microfinance Bank Plc has recorded an 85.35 per cent increase in profit after tax for the 2025 financial year and declared a dividend of 20 kobo per share, reflecting what shareholders and management described as a year of strong financial performance despite economic headwinds.
The dividend was approved at the Bank's 32nd Annual General Meeting, AGM, held on June 11, 2026, in Lagos, with shareholders, board members, regulators and other stakeholders in attendance.
The meeting was presided over by the Chairman of the Bank, Mr. Samuel Adegbuyi, alongside the Managing Director, Mr. Habeeb A. Yusuf, Executive Director, Mrs. Akin Balogun, and Company Secretary, Mrs. Osaro Idemudia.
Also present were former Inspectors-General of Police, Mr. Aliyu Atta, who served between 1990 and 1993 and is the founder of the Bank, as well as Mr. Musliu Smith, who served from 1999 to 2002.
Addressing shareholders, Adegbuyi said the 2025 financial year was characterised by inflationary pressures, exchange rate volatility and tight liquidity conditions within the Nigerian economy.
According to him, regulatory reforms, including banking sector recapitalisation and adjustments to foreign exchange policies, contributed to strengthening financial system stability and improving investor confidence.
He, however, noted that microfinance institutions continued to grapple with heightened credit risks arising from elevated interest rates and weak consumer purchasing power.
Despite the challenging operating environment, the Bank posted strong financial results across key performance indicators.
Gross earnings rose by 49.56 per cent from N12.95 billion in 2024 to N19.37 billion in 2025, while profit before tax increased by 78.74 per cent from N2.44 billion to N4.36 billion.
Profit after tax climbed by 85.35 per cent from N1.57 billion in 2024 to N2.91 billion in 2025.
The Bank's loans and advances portfolio also expanded significantly, growing by 52.21 per cent from N25.53 billion to N38.85 billion, indicating stronger credit expansion during the year.
Earnings per share increased from 26 kobo to 48 kobo, while total deposits rose marginally from N42.06 billion to N42.88 billion.
The Bank also maintained a non-performing loan ratio of 2.4 per cent, remaining below the regulatory threshold.
Shareholders subsequently approved a dividend of 20 kobo per share, representing a 33.3 per cent increase over the 15 kobo dividend paid in the previous financial year.
Speaking on the Bank's operational performance, the Managing Director, Mr. Habeeb A. Yusuf, described 2025 as a milestone year under the institution's 2025–2027 strategic plan.
He attributed the achievements to ongoing digital transformation initiatives and improved operational efficiency.
Yusuf said one of the major milestones recorded during the year was the successful migration to a new core banking application.
According to him, the upgrade enhanced service delivery, improved loan processing efficiency and strengthened system reliability.
The Bank also recorded notable progress in its sustainability and financial inclusion agenda.
Management disclosed that women accounted for 50.48 per cent of its workforce, while a total of N455.96 million was disbursed under the “Beta-Woman” loan scheme aimed at supporting female entrepreneurs.
In addition, eight branches were converted to solar-hybrid power systems as part of efforts to improve energy efficiency and reduce environmental impact.
In the same vein, the Board expressed cautious optimism about the Bank's prospects in 2026, citing ongoing reforms in the financial sector, improving macroeconomic stability and continued digital expansion as key drivers of future growth.
The Board reaffirmed its commitment to maintaining capital strength, enhancing risk management practices, promoting financial inclusion and sustaining responsible banking operations.
Adegbuyi thanked shareholders, customers, particularly members of the Nigerian Police Force, micro, small and medium enterprises, regulators and staff for their continued support.
“The Bank remains committed to sustaining growth and delivering value to stakeholders.”
He added that management would continue to pursue initiatives aimed at strengthening the institution's financial position while enhancing customer experience and long-term shareholder value.
.jpeg)
.jpeg)
.jpeg)
Comments
Post a Comment