Ecobank posts $423m PBT in H1 2026

Ecobank Transnational Incorporated released its half‑year earnings filing on Tuesday, reporting a profit before tax of $423m for the first six months ended 30 June 2026. This marks a six per cent increase compared to the $398m recorded in the corresponding period of 2025.

The pan‑African banking institution delivered net revenue growth of 15 per cent to reach $1.28bn, driven by balanced performance across its key business divisions, robust treasury operations, and expanded deposit mobilisation.

Profit attributable to shareholders rose two per cent to $198m, while tangible book value per share surged 24 per cent year‑on‑year to 7.51 US cents.

Commenting on the financial results, the Chief Executive Officer of Ecobank Group, Jeremy Awori, said, “Ecobank’s half‑year results reflect continued execution of our Growth, Transformation and Returns strategy, disciplined operational efficiency, benefits of diversification, and a relentless focus on serving our customers.”

Expanding on the earnings drivers, Awori added, “Net revenue grew 15 per cent to $1.3bn, with strong performance across both our Corporate and Investment Banking, and Commercial and Consumer Banking businesses, driven by treasury solutions, trade finance, and payments.

“We also grew low‑cost current and savings account deposits, improving our deposit mix, lowering our cost of funding, and supporting our net interest margin.”

Highlighting key strategic achievements during the period, Awori pointed to a major capital markets milestone, noting that the group issued a landmark debt instrument.

“In June, we issued a $450m Tier 2 Sustainable Agriculture and Natural Capital Bond on the London Stock Exchange—the world’s first ICMA‑designated Nature Bond issued by a commercial bank,” he said.

Emphasising strong investor appetite, Awori explained, “Demand from international and African investors exceeded $1.36bn, close to four times our initial target, showing the confidence investors have in the group. It allowed us to increase the size of the transaction and reduce our borrowing cost by 50 basis points while strengthening our capital position.”

Looking ahead to the second half of the year, the Ecobank boss expressed optimism despite broader macroeconomic headwinds.

“Geopolitics allowing, we remain confident in our momentum and outlook for the remainder of 2026, and in our ability to differentiate our capabilities and deliver exceptional service to our clients,” Awori concluded.

The group’s financial position showed total customer deposits expanding 13 per cent year‑on‑year to $26.99bn, with low‑cost current and savings accounts constituting 85 per cent of the total deposit base.

Asset quality also registered a marked improvement as total non‑performing loans dropped 21 per cent year‑to‑date to $945m. This brought the overall NPL ratio down from 9.4 per cent at the end of 2025 to 7.6 per cent as of June 2026.

Capital ratios remained solid, with an estimated Group Common Equity Tier 1 ratio of 13.3 per cent and a Total Capital Adequacy Ratio of 17.4 per cent.