- Ecobank Group Q1 Profit Rises 16% to $142.5m as Revenue Growth Offsets Higher Impairments
Ecobank Transnational Incorporated posted a stronger first-quarter performance in 2026, with profit after tax rising 16 per cent to $142.5 million, as higher operating income and stronger net interest earnings helped offset a sharp increase in impairment charges.
The pan-African banking group reported revenue of $636.2 million for the three months ended March 31, 2026, up 23 per cent from $516.3 million in the same period last year. Operating profit before impairment charges rose 30 per cent to $324.4 million, compared with $249.8 million in the first quarter of 2025.
Profit before tax increased 11 per cent to $195.0 million, while profit after tax rose to $142.5 million, from $122.5 million a year earlier. Earnings per share attributable to ordinary shareholders also improved to 0.377 cents, from 0.341 cents in the comparable period.
The performance reflects the continued strength of Ecobank’s core banking operations across its African footprint, particularly in interest-earning assets and fee-generating businesses. Interest income rose 23 per cent to $561.1 million, while net interest income increased 32 per cent to $390.0 million, supported by stronger yields and a more efficient funding mix.
Non-interest revenue also improved, rising 12 per cent to $246.3 million. Fee and commission income increased 19 per cent to $171.6 million, while trading income and foreign exchange gains rose 5 per cent to $86.9 million. Net investment income, although small in absolute terms, rose sharply to $1.9 million, from $143,000 a year earlier.
But the earnings expansion came against a background of rising credit costs. Impairment charges on financial assets jumped 73 per cent to $129.4 million, compared with $74.8 million in the first quarter of 2025. The increase absorbed a significant portion of operating profit and moderated the growth in pre-tax earnings.
Operating expenses also rose 17 per cent to $311.9 million, driven by higher staff costs and other operating expenses. Staff expenses increased 15 per cent to $132.6 million, while other operating expenses rose 20 per cent to $159.9 million.
On the balance sheet, Ecobank’s total assets rose 2 per cent to $35.2 billion as of March 31, 2026, from $34.5 billion at the end of December 2025. Customer deposits increased 5 per cent to $26.5 billion, strengthening the group’s liquidity position and underscoring the resilience of its deposit franchise.
Loans and advances to customers, however, declined 2 per cent to $11.5 billion, suggesting a more cautious approach to credit expansion amid elevated impairment costs and still-fragile operating conditions in some markets.
Total equity remained broadly stable at $2.9 billion, while cash and balances with central banks increased to $6.8 billion, from $5.9 billion at the end of 2025. The group also reported cash and cash equivalents of $6.7 billion at the end of March, compared with $4.9 billion in the same period last year.
In Ghana cedi terms, however, the reported performance showed the impact of currency translation effects. Revenue declined 13 per cent to GHS 6.91 billion, while profit before tax fell 21 per cent to GHS 2.12 billion and profit after tax declined 17 per cent to GHS 1.55 billion. The divergence between the dollar and cedi results underlines the significance of currency movements in assessing the performance of a bank with operations spread across multiple African markets.
Ecobank said its financial statements were prepared in accordance with IAS 34 Interim Financial Reporting and approved by the board on April 24, 2026. The group operates retail, corporate and investment banking services across sub-Saharan Africa outside South Africa, with presence in 39 countries and more than 14,100 employees as of March 2026.
