February 2, 2026/Cordros Report

C & I Leasing Plc (CILEASING) released its unaudited Q4-25 results on 30 January, reporting a 508.7% y/y surge in EPS to NGN0.29, driven by a 186.9% y/y growth in gross earnings. Meanwhile, 2025FY EPS declined by 5.6% y/y to NGN0.85 primarily due to the dilutive impact of a bonus issue, which increased the company’s outstanding shares from 988.99 million to 2.95 billion units. In nominal terms, profit after tax increased by 636.6% y/y in Q4-25 and 83.4% y/y in 2025FY.
 
CILEASING’s gross earnings increased by 186.9% y/y in Q4-25 (2025FY: +49.5% y/y), supported by broad-based growth across all segments – lease income (+276.0% y/y | 88.3% of gross earnings), net outsourcing income (+34.1% y/y | 2.9% of gross earnings), net tracking income (+134.6% y/y | 0.1% of gross earnings), and other operating income (+352.8% y/y | 6.7% of gross earnings). We attribute the growth in lease income to higher asset deployment and contract repricing, while net outsourcing income benefited from sustained client onboarding and higher utilisation rates. Geographically, gross earnings grew across all regions – Ghana (+294.0% y/y | 2025FY: +156.9% y/y), United Arab Emirates (+169.5% y/y | 2025FY: +25.9% y/y), and Nigeria (+18.2% y/y | 2025FY: +4.5% y/y).
 
Meanwhile, EBIT margin expanded by 35bps y/y to 34.8% in Q4-25 (2025FY: +850bps y/y to 35.8%). The improvement reflects the positive pass-through from robust gross earnings growth, which more than offset the 33.2% y/y increase in operating expenses (2025FY: +28.8% y/y). The rise in OPEX was largely driven by higher personnel expenses (+210.8% y/y).
 
Below the operating line, finance costs surged by 90.1% y/y to NGN6.34 billion in Q4-25, driven primarily by an 81.5% y/y increase in interest on finance leases to NGN5.10 billion. For the 2025FY period, finance cost increased by 63.7% y/y to NGN17.29 billion, driven by higher interest on finance lease (+92.1% y/y to NGN11.87 billion) and commercial notes (+111.2% y/y to NGN3.31 billion).

Finally, profit before tax increased by 92.7% y/y to NGN1.82 billion in Q4-25, while profit after tax grew significantly by 636.6% y/y to NGN1.17 billion. For 2025FY, profit before tax rose by 40.3% y/y to NGN3.76 billion, with profit after tax increasing by 83.4% y/y to NGN2.94 billion.
 
Comment: CILEASING delivered a robust rebound in Q4-25, where exceptional gross earnings growth translated into a sharp recovery in quarterly earnings, effectively counteracting elevated finance costs. 2025FY results also reflected strong operational momentum with nominal earnings expanding by 83.4% y/y. Looking ahead to 2026E, the earnings trajectory remains constructive, underpinned by strengthening fundamentals. We expect the recovery in offshore activity, improved asset availability, and a more stable corporate mobility environment to collectively bolster demand for leasing and asset-backed services. Our estimates are currently under review.