Zenith Bank Plc, on Wednesday presented its audited financials for the year ended December 31, 2024 to the Nigerian Exchange (NGX), with significant growth across key performance indicators, which the management say reflect effective pricing of its risk assets, as well as an optimized treasury portfolio, reinforcing its position as a leader in Nigeria’s banking industry.
According to the results, Zenith Bank recorded a double-digit year-on-year (YoY) growth of 86% in gross earnings, increasing from N2.13tr in 2023 to N3.97tr in 2024, driven by a 138% increase in interest income, supported by investment in high-yield government securities, and growth in its loan book.
Commenting on the results, Dame Dr Adaora Umeoji, the Group Managing Director/Chief Executive Officer, said the “performance underscores our unwavering commitment to innovation and customer-centric solutions.”
The group, she assured, “will also remain focused on deepening financial inclusion, enhancing service delivery, and creating value for our customers and stakeholders.”
Net interest income for the period increased by 135% from N736bn in 2023 to N1.7tr, reinforcing a strong core banking performance and ability to grow earnings despite macroeconomic headwinds. Non-interest income also grew by 20% from N919bn to N1.1tr.
Profit before tax (PBT) for the period rose by 67% to N1.3tr in 2024 from N796bn in 2023, driven by a combination of top-line expansion and efficient treasury portfolio management.
The bank’s total assets grew by 47% from N20 trillion in 2023 to N30tr in 2024, underpinned by a strong liquidity position and effective balance sheet management, just as customer deposits surged by 45% from N15tr to N22 trillion in 2024. This, it said, reflect a historically strong corporate deposits portfolio and a sustained increase in retail deposits. The increase in retail deposits was driven by customer acquisition and the Bank’s strategic focus on low-cost funding.
Return on Average Equity (ROAE) declined to 32.5% on the back of the injection of new capital, while Return on Average Assets (ROAA) remained unchanged at 4.1%. The Bank’s cost-to-income increased slightly from 36.1% to 38.9%, despite inflationary pressures. Its Non-Performing Loan (NPL) ratio stood at 4.7%, with a coverage ratio of 223%, underscoring the Bank’s prudent risk management and commitment to maintaining a resilient loan book, ensuring stability and confidence in the Bank’s operations.
Given the good earnings performance, the bnk has proposed a final dividend of N4.00 per share, which brings the total dividend for the year to N5.00 per ordinary share.
In a significant milestone, Zenith Bank successfully raised N350bn in capital through a rights issue and public offer, with a subscription rate of 160%, demonstrating strong investor confidence in the Bank’s growth trajectory. The proceeds from this capital raise will be strategically deployed to enhance technology infrastructure, strengthen liquidity, and support the Bank’s expansion into key African markets, unlocking new growth opportunities.
The bank remains focused on delivering sustainable growth, enhancing shareholder value, and driving financial inclusion through innovative banking solutions. With its solid capital base and innovative product offerings, the Bank is well-positioned to navigate evolving market conditions while continuing to strengthen its leadership in the Nigerian financial landscape.
Zenith Bank’s track record of excellent performance has continued to earn the brand numerous awards including being recognised as the Number One Bank in Nigeria by Tier-1 Capital for the fifteenth consecutive year in the 2024 Top 1000 World Banks Ranking, published by The Banker Magazine. The Bank was also awarded the Bank of the Year (Nigeria) in The Banker’s Bank of the Year Awards for 2020, 2022 and 2024; and Best Bank in Nigeria for four times in five years, from 2020 to 2022 and in 2024, in the Global Finance World’s Best Banks Awards.
