VFD Group Plc (NGX: VFDGROUP) has posted a 35% growth in gross earnings for the nine months ended September 30, 2025, according to the financial statements released by the company. The report also showed improved balance sheet.
Earnings Performance
Gross earnings rose 35% year-on-year to ₦60.72 billion (Q3 2024: ₦45.01 billion), driven primarily by higher investment income and gains from financial instruments. Investment and similar income surged to ₦49.00 billion, from ₦38.04 billion a year earlier, supported by improved yields on financial assets.
Net investment income grew to ₦45.65 billion, while other income, which includes rental and fair value gains, rose to ₦6.06 billion from ₦3.84 billion.
Personnel expenses increased by 33% to ₦4.25 billion, reflecting expansion in staff strength and remuneration adjustments. Other operating expenses also climbed to ₦9.29 billion from ₦7.77 billion, highlighting higher administrative, IT, and branding costs associated with business growth.
Operating profit rose sharply to ₦39.85 billion, compared to ₦24.03 billion in the prior year.
Following a finance cost of ₦31.94 billion, profit before tax stood at ₦7.99 billion, up from ₦4.95 billion in 2024.
After tax expenses of ₦1.36 billion, profit after tax grew by nearly 49% to ₦6.63 billion, compared to ₦4.47 billion last year.
Basic earnings per share improved to 64 kobo (2024: 45 kobo), underscoring enhanced shareholder value creation.
Balance Sheet
Total assets rose by 30% to ₦383.39 billion from ₦295.67 billion in December 2024, demonstrating strong asset accumulation.
Major asset components included:
- Trade and other receivables: ₦88.82 billion (up from ₦55.66 billion)
- Funds under management: ₦83.84 billion (₦49.38 billion in 2024)
- Investment in financial assets: ₦78.15 billion
- Loans and advances: ₦47.60 billion
- Investment property: ₦22.44 billion
- Cash and cash equivalents: ₦20.50 billion
On the liabilities side, total liabilities increased to ₦311.89 billion (2024: ₦237.14 billion), mainly driven by higher borrowings of ₦119.77 billion and deposit liabilities of ₦59.20 billion. Funds under management liabilities also rose to ₦83.21 billion.
Shareholders’ equity grew to ₦71.50 billion, up from ₦58.53 billion at the end of 2024, bolstered by retained earnings of ₦16.80 billion and fair value gains reflected in other reserves of ₦15.94 billion.
Cash Flow
The Group generated l₦12.21 billion net cash from operating activities in the period, a significant turnaround from a negative ₦7.79 billion in 2024,.
Investing activities yielded mixed results, with ₦11.13 billion proceeds from the sale of investment property and ₦1.89 billion in dividend income, partly offset by ₦7.78 billion spent on new property, plant, and financial investments.
VFD Group’s current share price is N11 per share.
Investogist reported earlier that VFD Group Plc announced a landmark ₦50 billion Rights Issue to its existing shareholders – to strengthen its financial base and accelerate its five-year strategic growth plan.
The Rights Issue involves 5,067,396,400 ordinary shares of ₦0.50k each, offered at ₦10 per share to eligible shareholders.
Read more: VFD Group Unveils Details of ₦50 Billion Rights Issue
VFD Group is poised for further expansion in its investment and financial services portfolio, driven by its strong earnings momentum and asset growth.
Ifunanya Ikueze is an Engineer, Safety Professional, Writer, Investor, Entrepreneur and Educator.
