VFD Bank Records ₦366m profit in 2024, reverses two-year loss

• Published On: 13 April 2025 at 15:43

VFD Microfinance Bank, the digital-first banking subsidiary of VFD Group Plc, reported a profit of ₦366 million ($232,233) for the 2024 fiscal year, a significant improvement from a deficit of ₦211 million ($132,739) in 2023.

The bank's Audited Financial Statements show a huge rise over the tiny ₦1.8 million ($1,127) profit reported in 2022.

The 10-year-old institution reported an operational income of ₦4.5 billion ($2.83 million) for 2024, while holding operating expenses, including finance costs, at ₦3.9 billion ($2.47).

In 2023, costs was ₦5.42 billion ($3.44 million) while operational income was ₦5.2 billion ($3.29 million), resulting in a net loss.

In 2024, the bank's lending operations increased by 90% to reach ₦15 billion ($9.5 million), contributing to its better performance.

This reversal helped its parent business, VFD Group Plc, return to profitability in 2024 following a loss of ₦750 million ($471,824) the previous year. 11 of the Group's 12 subsidiaries declared profits for the year, while VFD Ghana lost money.

In February 2025, VFD Group invested ₦5 billion in VBank, their flagship virtual banking platform powered by VFD Microfinance Bank, to enhance its digital banking capabilities. The capital injection is intended to drive technological innovation and broaden VBank's service offerings.

Since its inception, VBank has quickly gained traction in Nigeria's financial sector, providing a totally digital experience with no maintenance costs and competitive interest rates for both personal and commercial users.