AG Mortgage Bank Posts 130% Profit Surge as Assets Hit ₦33.04bn
AG Mortgage Bank expands housing finance capacity
AG Mortgage Bank Plc recorded a sharp improvement in its 2025 financial performance, with profit after tax rising 130% to ₦1.06 billion and total assets increasing 48% to ₦33.04 billion.
The mortgage lender’s latest results also show a 44% expansion in loans and advances to ₦22.71 billion, pointing to increased lending capacity as demand for housing finance continues to grow.
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Profit and Assets Expand
AG Mortgage Bank’s profit after tax rose from ₦458.7 million in 2024 to ₦1.06 billion in 2025, representing a 130% increase.
Profit before tax also increased 89% to ₦1.38 billion, while gross earnings rose 42% from ₦3.47 billion to ₦4.93 billion.
The stronger earnings were accompanied by significant balance-sheet growth. Total assets climbed from ₦22.37 billion in 2024 to ₦33.04 billion in 2025.
Loans and advances increased from ₦15.82 billion to ₦22.71 billion, while cash and cash equivalents rose 195% to ₦6.96 billion.
Mortgage Loan Growth Strengthens Housing Finance Capacity
The expansion of the loan portfolio is particularly relevant to Nigeria’s housing market because mortgage lenders provide a critical channel through which households can access long-term financing for home purchases.
AG Mortgage Bank’s management said the growth in its loan portfolio reflected increased capacity to deploy funds into mortgage and other appropriate lending opportunities while maintaining credit discipline and portfolio quality.
The bank has also identified deepening its core mortgage business and expanding housing-finance opportunities as priorities going forward.
Funding Remains Critical to Mortgage Growth
While the bank’s balance sheet expanded, the results also highlight the importance of funding conditions to mortgage lending.
Customer deposits increased 14% to ₦9.48 billion from ₦8.31 billion, while shareholders’ funds rose 17% to ₦7.16 billion. Total liabilities, however, increased 59% to ₦25.88 billion.
AG Mortgage Bank’s management has emphasised the need for appropriately structured, long-term funding to support sustainable mortgage banking.
This remains important in Nigeria, where mortgages require longer-tenor funding while lenders operate within an environment of elevated interest rates, inflation and constrained household purchasing power.
Housing Affordability Remains a Market Constraint
Despite the lender’s stronger financial performance, wider housing-finance conditions remain challenging.
AG Mortgage Bank management acknowledged that elevated funding costs, inflation and reduced household purchasing power continued to affect the operating environment.
This creates a distinction between the growth of mortgage-bank balance sheets and the broader accessibility of mortgages to Nigerian households. Stronger lending capacity can support housing supply and home purchases, but affordability will continue to depend on interest rates, household incomes, property prices and the availability of long-term financing.
AG Mortgage Bank Targets Further Expansion
The bank said it plans to deepen its mortgage business, diversify its funding base, improve customer experience and use technology and strategic partnerships to extend its reach.
Its stated strategy is centred on strengthening the institution's ability to serve Nigeria’s housing-finance market while maintaining credit discipline and sustainable growth.
AG Mortgage Bank’s investor-relations disclosures also show that the bank is positioning technology, funding capacity and market expansion as part of its longer-term growth strategy.
Implications for Nigeria’s Housing Market
The bank’s 2025 performance provides another indication of activity within Nigeria’s formal housing-finance sector.
The 44% increase in loans and advances could support greater mortgage origination if the additional lending capacity translates into more accessible housing finance. For developers, stronger mortgage institutions can also improve the potential market for completed housing by giving prospective buyers greater access to financing.
However, the scale of the wider housing challenge means that mortgage-bank growth alone will not resolve affordability constraints. The cost of credit, property prices, household income and the availability of suitable long-term funding will remain central to expanding mortgage access.
Conclusion
AG Mortgage Bank’s 130% increase in profit after tax, 48% asset expansion and 44% growth in loans and advances underline a period of significant financial expansion for the mortgage lender.
As the bank seeks to deepen mortgage lending and diversify its funding base, its ability to convert balance-sheet growth into broader and more affordable housing finance will remain important to Nigeria’s property market.
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