Access ARM Pensions reports revenue of N42.4 bn and profit of N16 bn

Nume Ekeghe
 

Access ARM Pensions reported a pronounced increase in revenue during its first complete financial year after the merger of Access Pensions and ARM Pensions, highlighting the scale advantages and operational efficiencies already being realised.

The pension‑fund administrator’s gross revenue rose 50.4 percent to N42.4 billion for the 2025 financial year, up from N28.2 billion in 2024. Profit after tax also climbed, increasing 48 percent to N16.1 billion from N10.9 billion the year before.

Assets under management (AUM) grew markedly, exceeding N4 trillion in 2025 compared with roughly N3 trillion in 2024, reinforcing the firm’s standing as one of Nigeria’s largest pension‑fund administrators.

At the recent Annual General Meeting in Lagos, shareholders approved a dividend of N2 per share.

Acting Managing Director and Chief Executive Officer Abimbola Sulaiman described 2025 as a defining year, noting it was the first full year in which the combined operations of the two firms were reflected in the financial statements.

“If you recall, FY2025 was our first full year post‑merger. In 2024, ARM Pensions was part of the business for only about five months, so 2025 marked the first full year of consolidation,” she said.

She added that the company had successfully captured substantial operational synergies from the merger, especially through cost optimisation, while also strengthening customer acquisition and expanding pension assets.

“We were able to extract significant synergies, particularly on the cost side. The business is strong, the brand is strong, and we recorded strong gains in customer acquisition and assets under management,” she stated.

Sulaiman noted that the firm’s growth rate was outpacing the broader industry, driven largely by value creation and increased scale resulting from the merger.

“Our AUM grew from about N3 trillion in 2024 to N4 trillion in 2025, which represents significant growth. So, we are seeing strong double‑digit growth, not only in line with the industry but ahead of it, largely because of the value capture achieved from the merger,” she added.

She said the company anticipates stronger medium‑term performance as integration benefits continue to materialise across operations and revenue streams.

“As you know, mergers and acquisitions typically take between one and three years before full integration benefits are realised, both from a cost optimisation and revenue synergy standpoint. We are therefore optimistic about the growth trajectory ahead,” she said.

Sulaiman also highlighted expanding opportunities in the pension sector, noting that regulators are pushing reforms aimed at widening pension penetration and deepening coverage nationwide.

“The pension industry itself is growing and becoming more consolidated, and our position within the industry remains solid. We intend to leverage that position to strengthen our competitiveness further,” she said.

She further assured that, despite new regulatory capital requirements for pension operators, the firm is confident it can meet the threshold internally without diluting shareholders.

“The fact that we are able to pay dividends this year while still working towards meeting the new minimum capital requirement ahead of the regulator’s deadline demonstrates our confidence in the strength and performance of the business.

We will meet the capital requirement before the deadline, and we will not require any external capital injection to do so,” she stated.

Shareholder Obinna Anyanwu described the company’s commitment to shareholder returns as encouraging.

“We are really excited about the outcome of today’s meeting. What we have seen consistently is the company’s commitment to shareholders, and that is a very positive sign,” he said.

“We are also beginning to reap the benefits of the merger with ARM Pensions. This is the first full financial year after the merger and based on the kind of performance presented at this AGM, we are optimistic that the company will continue to build on and consolidate these gains going forward.”

He added that the quality of leadership within the organisation further boosts investor confidence in the firm’s future growth prospects.

“Another factor that gives us confidence about the future is the quality of leadership within the organisation. We are very confident in the management team and believe the company will continue to perform even better in the years ahead,” Anyanwu said.