VFD Microfinance Bank, the digital-first banking arm of VFD Group Plc, has posted a profit of ₦366 million ($232,233) for the 2024 financial year, marking a sharp turnaround from a ₦211 million ($132,739) loss recorded in 2023.
The improvement also represents a significant leap from the modest ₦1.8 million ($1,127) profit reported in 2022, according to the bank’s Audited Financial Statements.
The 10-year-old institution reported an operating income of ₦4.5 billion ($2.83 million) for 2024, while keeping operating expenses, including finance costs, at ₦3.9 billion ($2.47 million).
This is in stark contrast to 2023, when expenses of ₦5.42 billion ($3.44 million) outpaced an operating income of ₦5.2 billion ($3.29 million), resulting in a net loss.
The bank’s improved performance was driven in part by an aggressive expansion in its lending operations, with the total value of loans disbursed surging by 90% to ₦15 billion ($9.5 million) in 2024.
This turnaround also contributed to the broader recovery of its parent company, VFD Group Plc, which returned to profitability in 2024 after a ₦750 million ($471,824) loss the previous year. Out of the Group’s 12 subsidiaries, 11 reported profits for the year, with only VFD Ghana posting a loss.
In a move to further strengthen its digital banking capabilities, VFD Group injected ₦5 billion into VBank—the Group’s flagship virtual banking platform powered by VFD Microfinance Bank—in February 2025. The capital injection is intended to fuel technological innovation and expand VBank’s range of services.
Since its launch, VBank has rapidly gained traction in Nigeria’s financial space, offering a fully digital experience with zero maintenance fees and attractive interest rates for both individual and business customers.
