After several anxious weeks among investors on the Nigerian Exchange, the board of Zenith Bank Plc, on Thursday presented its audited result for the half-year ended June 30, 2025, a summary of which included the 19.96% rise in gross earnings boosted by the growth in interest and similar income, which was however curtailed by the spike in impairment charge on financial and non-financial instruments during the period. These, among others slowed down the profit after tax for the period, despite which the directors seemingly plan to compensate shareholders for the delayed result by offering a dividend of N1.25 per share, up from N1.00 in the preceding half-year, from its Earnings Per Share of N12.95, against the N18.41 per share reported in the corresponding period of last year.
According to the directors of Zenith Bank. qualification date for the proposed dividend is October 3, while payment will be made electronically on October 10, 2025 shareholders whose names appear on the Register of Members as at October 3, 2025.
According to the result, gross earnings increased by N419.387bn or 19.96% from N2.101tr to N2.52tr, with interest and similar income growing from N1.149tr to N1.839tr, buoyed by the N935.752bn from customer loans and advances, rising from N610.36bn; followed by N522.757bn from treasury bills, a leap from the previous N261.311bn; and N258.727bn earned from government and other bonds, compared to the previous N193.768bn.
Interest and similar expense rose to N484.525bn from N434.363bn, lifted by the N166.449bn paid on savings accounts, while cost of borrowed funds dropped from N172.97bn to N132.375bn, among others. This resulted in net interest income of N1.354tr, compared to previous half-year’s N715.073bn.
Impairment charge on financial and non-financial instruments leaped to N760.814bn from N415.294bn, with impairment on loans and advances amounting to N791.196bn from N352.107bn. Resulting in net interest income after impairment loss of N594.91bn, compared to the previous N299.779bn. Net income on fees and commissions rose marginally from N109.616bn to N128.063bn, of which account maintenance fee rose to N43.224bn, from N32.788bn, just as fee and electronic products dropped to N36.397bn from N41.23bn. Trading gains closed at N467.792bn from N795.572bn, spiked by gains on other trading books of N483.223bn from N871.643bn. Other operating income stood at N17.291bn, an improvement over the previous N5.855bn loss. Personnel expenses rose from N115.9bn to N134.568bn; while operating expenses climbed from N333.229bn to N411.287bn. These, among others, left profit before tax at N625.629bn, compared to the previous N727.03bn. Profit after tax drop was however mitigated, closing at N532.18bn down from N577.997bn, helped by the drop in income tax expense from N149.033bn to N93.449bn.
The group’s balance sheet, however, remained robust with total assets of N30.992tr up from N29.957tr, while total liability rose from N25.928tr at the close of business in December last year, to N26.424tr.
Total assets was driven by the N9.601tr in customer loans and advances, which fell slightly from N9.965tr, just as total liabilities was boosted by the N23.483tr customer deposits, which rose from N21.959tr six months earlier.
