FUGAZ Banks Report Significant Overseas Earnings Amid Domestic Decline
In 2025, four major banks in the FUGAZ group reported a combined pre-tax profit of ₦1.949 trillion from their international operations, contributing to 54.77% of the overall group profit of ₦3.560 trillion. Despite this impressive performance from overseas subsidiaries, the group experienced an 11% decline in total pre-tax profit, likely attributed to significant impairment losses, diminished foreign exchange gains, and increased operating expenses impacting domestic earnings.
For instance, UBA Nigeria was responsible for over 90% of the group’s total impairment losses, amounting to ₦331 billion, while Zenith Bank Nigeria incurred over 97% of the group’s ₦742 billion impairment losses in the same year. Before delving into each bank’s performance, it is essential to highlight their rankings. UBA led the group with profits from overseas subsidiaries totaling ₦671.1 billion, followed by Access Holdings at ₦571.35 billion, GTCO at ₦375.322 billion, and Zenith Bank at ₦331.758 billion. The financial results for First HoldCo for 2025 have yet to be disclosed.
Zenith Bank PLC Delivers Robust Profits from Overseas Operations
Zenith Bank achieved a pre-tax profit of ₦331.758 billion in 2025 through its four international subsidiaries located in Ghana, Sierra Leone, Gambia, and the United Kingdom. This figure accounts for 26.26% of the group’s reported profit before tax of ₦1.263 trillion, marking an increase from 14.07% in 2024 and 16.5% in 2023. The consistent upward trajectory in profit underscores Zenith’s competitive positioning, especially given its limited number of offshore units compared to peers with larger networks. In 2025, Zenith Bank Ghana emerged as the highest-performing subsidiary, generating ₦193.367 billion—a remarkable 135% increase from the previous year, while Zenith Bank UK contributed ₦98.87 billion, up from ₦84.1 billion in 2024.
However, the bank’s domestic operations remain the primary revenue driver, contributing ₦923 billion to the group’s pre-tax profit of ₦1.26 trillion.
GTCO PLC Sees Significant Growth in Overseas Profit Contribution
GTCO’s international subsidiaries reported a pre-tax profit of ₦375.322 billion in 2025, reflecting a 37% increase from ₦273.142 billion in 2024. This offshore contribution now represents 43.35% of the group’s total profits, an upward shift from 21.57% in 2024 and 21.44% in 2023. Over the past two years, GTCO’s global earnings as a percentage of group profits have nearly doubled. The group operates in eight countries, including Ghana, Liberia, Tanzania, Ivory Coast, Gambia, Sierra Leone, the UK, and Kenya, establishing a regional hub in Kenya to support operations in Uganda and Rwanda, expanding its reach to ten markets.
In terms of specific subsidiaries, GT Bank Ghana led the group with ₦196 billion in profits, a 65% year-on-year growth. Although GT Bank Tanzania posted a pre-tax loss of ₦149 million, other subsidiaries turned profitable, improving from a loss of ₦1.1 billion in 2024. GTCO Nigeria added ₦871.918 billion to pre-tax profits, while non-banking ventures, including Habari Pay, asset management, and pension fund operations, contributed ₦20.47 billion, an increase from ₦14.59 billion in 2024.
Access Holdings Achieves New Milestones in Overseas Earnings
Access Holdings’ 15 international subsidiaries collectively generated ₦571.35 billion in pre-tax profits for 2025, a 24.2% increase year-on-year. This contribution accounted for 56.73% of the group’s adjusted pre-tax profit of ₦1.007 trillion, significantly up from 53% in 2024 and a mere 27.32% in 2023. The rapid growth highlights Access Holdings’ strategic shift towards leveraging international operations for profitability. Notably, Access Bank UK excelled, contributing ₦288.5 billion, surpassing the earnings of any single domestic or international operations of other FUGAZ banks. The group faced challenges with losses reported in two subsidiaries situated in South Africa and Kenya, though Mozambique rebounded to profitability with ₦5.56 billion in pre-tax earnings.
Access Holdings reported a total profit of ₦5.529 trillion in 2025, with its overseas operations contributing ₦1.4 trillion, illustrating the increasing significance of its international presence.
UBA’s Dominance in Overseas Profits Further Highlights International Strategy
UBA led its peers with a remarkable pre-tax profit of ₦671.1 billion from overseas operations in 2025, accounting for a staggering 92% of the group’s adjusted pre-tax profit of ₦729.785 million. This underscores a striking shift in UBA’s financial structure, where the domestic branch contributed only 8%, generating ₦50.121 billion, compared to ₦671.1 billion from the African network. This marks a considerable rise from 53% in 2024 and 29.69% in 2023. Among its international subsidiaries, UBA Côte d’Ivoire and UBA Ghana were standout performers, generating ₦126.58 billion and ₦78.17 billion, respectively, with UBA Sierra Leone contributing ₦65.58 billion.
Impairment losses across UBA’s international divisions were approximately ₦25.6 billion in 2025, a significant reduction of 54% from the previous year, with UBA Cameroon recording the highest impairment loss of ₦18 billion.
First HoldCo’s International Contribution Yet to be Determined for 2025
As of 2024, First HoldCo, the parent entity of First Bank of Nigeria, manages six subsidiaries across Africa and one in the UK, supplemented by representative offices in China and France. The group’s 2024 financial disclosures indicated that its overseas subsidiaries contributed 27.5% to a total pre-tax profit of ₦796.47 billion, equating to ₦219.03 billion from international operations. This positions First HoldCo as the fourth largest contributor of foreign earnings among FUGAZ banks. However, detailed financial updates for 2025 remain undisclosed.
Despite a notable recovery in group revenues, the release of data indicating the performance of international subsidiaries in 2025 is anticipated. Investors monitoring First HoldCo’s performance will be particularly interested in this information as part of the group’s comprehensive annual reporting.
Insights on Future Growth and Regulatory Challenges
The ₦1.949 trillion earned by the four FUGAZ banks from their overseas subsidiaries in 2025 presents encouraging prospects for the industry. A pivotal question for 2026 centers on the potential growth trajectory, especially as domestic operations are expected to rebound. Simultaneously, new regulatory requirements by the CBN may introduce complexities affecting overseas earnings.
If domestic recovery trends persist—a possibility suggested by promising first-quarter results—these banks may soon capitalize on dual revenue streams. Nonetheless, emerging risks are linked to proposed operational guidelines by the CBN, which could require subsidiaries to operate more independently for regulatory compliance purposes. A shift towards increased operational expenditures at the subsidiary level is a likely consequence.
Currently, the operational efficiency of overseas subsidiaries benefits from shared infrastructural, technological, compliance, and risk management resources with the parent group. In 2025, total operating costs for foreign subsidiaries approached half of those incurred by domestic operations, highlighting their cost advantages. Rising operational independence could jeopardize these financial efficiencies, prompting a thorough reevaluation of international operations within the FUGAZ framework.
