Zenith Bank: Profit Soars to ₦727 Billion in H1 2024

Zenith Bank Plc has once again demonstrated its financial strength and market leadership, reporting a profit before tax (PBT) of ₦727 billion in its H1 2024 financial results, marking a 108% year-on-year (YoY) increase from ₦350 billion in H1 2023.

The leading Nigerian bank also recorded a 117% surge in gross earnings, growing from ₦967.3 billion in H1 2023 to ₦2.1 trillion in H1 2024, despite the challenging macroeconomic environment. This outstanding performance underscores Zenith Bank’s resilience, strategic financial management, and strong operational efficiency.

Key Highlights of Zenith Bank’s H1 2024 Financial Performance

• Gross Earnings: ₦2.1 trillion (+117% YoY)
• Profit Before Tax (PBT): ₦727 billion (+108% YoY)
• Profit After Tax (PAT): ₦578 billion (+98% YoY)
• Earnings Per Share (EPS): ₦18.41 (+98% YoY)
• Interest Income: ₦1.1 trillion (+177% YoY)
• Non-Interest Income: ₦899.3 billion (+74% YoY)
• Customer Deposits: ₦19.6 trillion (+29% YoY)
• Gross Loans: ₦10.2 trillion (+44% YoY)
• Total Assets: ₦27.6 trillion (+35% YoY)
• Capital Adequacy Ratio: 23% (from 21.7%)

This record-breaking half-year performance is attributed to strategic loan disbursements, effective risk asset pricing, and expansion into key international markets.

Read also: Zenith Bank Proposes N4 Dividend as Profit Hits N1.3 Trillion

Zenith Bank maintained strong cost management practices, with only a slight increase in the cost-to-income ratio from 38.5% to 39.4% YoY. The cost of risk also rose moderately from 8.8% to 9.7%, reflecting a proactive risk management approach in a volatile economic environment.

The bank’s loan-to-deposit ratio grew by 11%, while its capital adequacy ratio improved to 23%, ensuring a solid financial standing and long-term sustainability.

As part of its international expansion strategy, Zenith Bank has secured regulatory approval to establish a third-country branch in Paris, France. This move aims to strengthen its global footprint and enhance its product offerings in the international market.

Furthermore, the bank continues to prioritize digital banking innovation, with ongoing technology infrastructure upgrades to enhance customer experience and operational efficiency.

Unwavering Commitment to Shareholders

Zenith Bank has declared an interim dividend of ₦1.00 per share, the highest half-year dividend payout in its history. This underscores the bank’s commitment to delivering maximum value to shareholders while maintaining financial stability and growth.

“We remain committed to sustaining our strong financial performance while exploring new growth opportunities in Nigeria and beyond.” — Zenith Bank Management

Award-Winning Excellence in Banking

Zenith Bank continues to be recognized for its excellence, innovation, and corporate governance. Some of its recent awards include:

• Nigeria’s No. 1 Bank by Tier-1 Capital (15 consecutive years – The Banker Magazine)
• Best Bank in Nigeria (2020-2022, 2024 – Global Finance Awards)
• Most Sustainable Bank, Nigeria (2024 – International Banker Awards)
• Best Commercial Bank, Nigeria (2021-2024 – World Finance Banking Awards)
• Best Corporate Governance Bank, Nigeria (2022-2024 – World Finance Corporate Governance Awards)
• Retail Bank of the Year (2020-2022 – BusinessDay BAFI Awards)

With a track record of operational excellence and innovative banking solutions, Zenith Bank is poised for a record-breaking year in 2024.