Chika Mbonu: Access Holdings Now Focusing On Value and Quality Of Earnings

Analyst says Access Holdings is shifting from aggressive expansion to improving efficiency and stronger returns.

Nigeria’s largest lender by assets, Access Holdings, is repositioning its strategy towards improving efficiency and delivering higher-quality earnings after years of rapid expansion across markets.

Speaking during an interview on ARISE News, business analyst Chika Mbonu said the bank is moving beyond a growth-at-all-costs model to a more disciplined focus on value creation.

“The focus is now on value and the quality of earnings,” he said.

Mbonu explained that the bank’s recent financial performance, including crossing the ₦1.3 trillion profit-before-tax milestone, reflects this strategic transition rather than just an increase in scale.

“It’s not only just the bank chasing size… but chasing value and the quality of earnings,” he added.

According to him, Access Holdings’ earlier expansion strategy driven by acquisitions and geographic growth has now reached a stage where optimisation is critical.

“I’ve achieved the scale… now the issue is how do we sweat the assets,” he said.

He noted that the bank’s core business remains strong, supported by growth in key income lines.

“Net income grew… fees and commission grew by 41%… operating income grew by 24%,” he said.

Mbonu also pointed to improvements in operational efficiency, particularly a reduction in cost-to-income ratio, as evidence that the bank is beginning to optimise its large asset base.

“They brought cost-to-income from 56% to about 51%,” he stated.

However, he acknowledged concerns among investors, especially regarding the absence of dividend payouts despite strong headline earnings.

“Shareholders should ask themselves… do we need to enjoy short-term or long-term?” he said.

He advised investors to remain patient, noting that the current strategy is designed to deliver sustainable long-term returns rather than immediate gains.

“For the investors… don’t panic,” he said.

Mbonu added that the next phase for the bank will depend heavily on execution across its multiple subsidiaries and international operations.

“Execution becomes a challenge… you need to push these countries to sweat,” he said.

Mbonu concluded that Access Holdings’ shift toward value and earnings quality marks a critical transition, with long-term performance now dependent on how effectively the bank converts its scale into sustained profitability