Blog Details

Africa Prudential Plc reported a pre-tax profit of N2.41 billion for H1 2026, representing 21.68% YoY growth from N1.98 billion in H1 2025, supported by higher interest income and growth in revenue from contracts with customers.

For Q2 2026, pre-tax profit stood at N1.63 billion, up 27.67% YoY from N1.27 billion in Q2 2025 and up 107.75% from N782.36 million in Q1 2026.

Profit after tax for H1 2026 rose 18.10% YoY to N1.59 billion from N1.35 billion, driven by stronger earnings in Q2.

Q2 profit after tax grew by 23.92% YoY to N1.07 billion from N865.55 million in Q2 2025, accounting for about 67% of H1 2026 profit after tax.

Likewise, earnings per share stood at 40 kobo for H1 2026, supported by a 22.73% YoY increase in Q2 EPS to 27 kobo from 22 kobo in the corresponding quarter of 2025.

Key Highlights (H1 2026 vs. H1 2025)

• Revenue: N742.32 million (Up 41.00% YoY from N526.47 million)
• Gross profit: N670.75 million (Up 34.42% YoY from N498.99 million)
• Net operating income: N4.21 billion (Up 26.95% YoY from N3.32 billion)
• Pre-tax profit: N2.41 billion (Up 21.68% YoY from N1.98 billion)
• Total assets: N46.52 billion (Up 11.01% from N41.91 billion at December 2025)
• Cash and cash equivalents: N1.11 billion (Up 127.95% from N488.45 million at December 2025).
• Total liabilities: N34.00 billion (Up 16.54% from N29.18 billion at December 2025)
• Total equity: N12.52 billion (Down 1.65% from N12.73 billion at December 2025)

Driving the numbers

Africa Prudential’s H1 2026 performance was driven by growth in both its core service revenue and interest income.

• Revenue from contracts with customers increased by 41.00% to N742.32 million from N526.47 million.
• Fees from corporate actions remained the largest source of service revenue, contributing N497.99 million, or about 67% of H1 revenue from contracts with customers, compared with N336.46 million in H1 2025.
• Registrar maintenance revenue increased to N222.60 million from N180.00 million, while digital technology revenue more than doubled to N21.73 million from N10.00 million.
• Interest income remained the major contributor to overall operating income, rising by 30.59% to N3.46 billion from N2.65 billion.
• The increase was largely driven by interest in short-term deposits, which climbed to N3.35 billion from N2.54 billion.
• Interest on loans and advances increased to N71.61 million from N64.47 million, while interest on bonds declined to N33.58 million from N39.98 million.
• The stronger income performance pushed net operating income to N4.21 billion, up 26.95% from N3.32 billion in H1 2025.

However, rising operating costs partly moderated the impact on profitability.

• Personnel expenses increased by about 50% to N968.45 million from N645.45 million, driven mainly by higher wages and salaries and other employee benefits.
• Other operating expenses also increased to N753.40 million from N638.35 million.

Balance sheet

On the balance sheet, total assets expanded by 11.01% to N46.52 billion, largely reflecting an increase in debt instruments at amortized cost to N35.01 billion from N32.14 billion.

Cash and cash equivalents more than doubled to N1.11 billion, while deposits for shares increased to N1.40 billion from N500 million.

The expansion of assets was accompanied by higher liabilities.

Customers’ deposits increased by 13.83% to N30.10 billion from N26.44 billion, while creditors and accruals rose to N2.32 billion from N450.59 million.

Consequently, total liabilities increased by 16.54% to N34.00 billion, while total equity declined by 1.65% to N12.52 billion.

Market reaction

Africa Prudential’s shares closed at N13.20 on Friday, July 17, 2026, representing a 4.3% gain from the previous closing price of N12.65.

The stock has gained 13.3% month-to-date in July, although it remains down 10.8% year-to-date, having started 2026 at N14.80 per share.

At the July 17 closing price, Africa Prudential had a market capitalization of N52.8 billion, ranking as the 72nd most valuable stock on the NGX.