Wema Bank Plc has released its unaudited financial results for the nine months ended September 30, 2026, reporting a pre-tax profit of N258.64 billion, representing a 76.62% increase from N146.43 billion in the corresponding period of 2025.

Gross earnings increased by 45.72% to N673.24 billion from N462.00 billion, supporting a 72.56% increase in profit after tax to N219.84 billion. However, earnings per share declined by 1.06% to 730.63 kobo from 738.48 kobo.

In Q3 2026, the bank recorded a pre-tax profit of N104.08 billion, contributing 40.24% of its nine-month pre-tax earnings.

Key Highlights

• Gross earnings: N673.24 billion (Up 45.72% YoY from N462.00 billion).
• Interest income: N543.56 billion (Up 37.21% YoY from N396.14 billion).
• Interest expenses: N217.68 billion (Up 35.60% YoY from N160.53 billion).
• Net interest income: N325.88 billion (Up 38.31% YoY from N235.61 billion).
• Impairment charges: N18.54 billion (Up 21.19% YoY from N15.30 billion).
• Net interest income after impairment: N307.34 billion (Up 39.50% YoY from N220.31 billion).
• Non-interest income: N129.68 billion (Up 96.93% YoY from N65.85 billion).
• Net fee and commission income: N55.14 billion (Up 28.44% YoY from N42.93 billion).
• Net trading income: N46.08 billion (Up 332.09% YoY from N10.66 billion).
• Total assets: N7.43 trillion (Up 46.42% from N5.07 trillion at December 2025).
• Customer deposits: N3.86 trillion (Up 17.40% from N3.29 trillion).
• Cash and cash equivalents: N1.56 trillion (Up 65.81% from N940.81 billion).

Driving the numbers

Wema Bank’s nine-month earnings growth was driven by higher interest income, stronger non-interest earnings and improved net interest income, although rising funding costs and operating expenses weighed on profitability.

Gross earnings increased by 45.72% to N673.24 billion, with interest income remaining the largest contributor.

• Interest income grew by 37.21% to N543.56 billion from N396.14 billion, accounting for 80.74% of gross earnings.
• Interest on loans and advances to banks and customers contributed N326.01 billion, representing 59.98% of total interest income, compared with N244.44 billion in the prior-year period.
• Interest from cash and cash equivalents increased sharply to N91.28 billion from N8.04 billion, contributing 16.79% of interest income.
• However, interest income from investment securities declined by 12.11% to N126.27 billion from N143.67 billion, accounting for 23.23% of total interest income.

On the funding side, interest expenses increased by 35.60% to N217.68 billion from N160.53 billion, driven largely by higher customer deposit costs.

• Interest paid on customer deposits increased by 66.51% to N200.54 billion, representing approximately 92.12% of total interest expenses.

Despite higher funding costs, net interest income increased by 38.31% to N325.88 billion from N235.61 billion, as interest income growth exceeded the increase in interest expenses.

Impairment charges on financial assets increased by 21.19% to N18.54 billion from N15.30 billion, reflecting higher credit-related charges.

• Nevertheless, net interest income after impairment increased by 39.50% to N307.34 billion from N220.31 billion.

Non-interest income provided another significant boost, increasing by 96.93% to N129.68 billion from N65.85 billion.

• Net fee and commission income rose by 28.44% to N55.14 billion, contributing 42.52% of non-interest income.
• Net trading income surged to N46.08 billion from N10.66 billion, accounting for 35.53% of non-interest income, driven largely by treasury bill trading income of N40.47 billion.
• Other income increased to N18.04 billion from N11.19 billion, while gains on investment securities measured at fair value through profit or loss rose to N10.42 billion from N1.07 billion.

The improved income performance lifted operating income by 52.72% to N437.02 billion from N286.16 billion.

However, operating expenses also increased. Personnel expenses rose by 37.29% to N69.10 billion, while other operating expenses increased by 17.59% to N95.24 billion.

• Depreciation and amortisation expenses increased to N14.05 billion from N8.41 billion.

Despite these cost pressures, pre-tax profit increased by 76.62% to N258.64 billion, while profit after tax rose by 72.56% to N219.84 billion.

However, basic earnings per share declined to 730.63 kobo from 738.48 kobo, despite the increase in after-tax earnings.

Balance sheet

On the balance sheet, total assets increased by 46.42% to N7.43 trillion as of September 2026, from N5.07 trillion at December 2025, driven largely by growth in loans and advances, investment securities and cash balances.

• Loans and advances to customers increased by 44.49% to N2.51 trillion from N1.74 trillion, while investment securities rose by 53.58% to N2.05 trillion from N1.34 trillion.
• Cash and cash equivalents increased to N1.56 trillion from N940.81 billion, supported largely by higher money market placements.

On the liabilities side, customer deposits increased by 17.40% to N3.86 trillion, while other liabilities rose substantially to N2.59 trillion from N1.01 trillion.

• Meanwhile, other borrowed funds declined by 28.09% to N81.71 billion from N113.63 billion.

Shareholders’ equity increased by 27.34% to N790.13 billion from N620.47 billion, supported by retained earnings.

Market reaction

Wema Bank shares closed at N32.00 on Friday, October 30, 2026, gaining 3.23% from the previous closing price of N31.00.

Year-to-date, it has gained 56.9% year-to-date based on its opening price of N20.40, ranking 45th on the Nigerian Exchange in terms of year-to-date performance.

On October 29, when the financial statements were authorised for issue, the shares declined by 0.32% to N31.00.