Zenith Bank Plc has proposed a final dividend of N4.00 per share, bringing the total dividend for the year to N5.00.
The proposal came as the bank presented its 2024 financial results financial year to the Nigerian Exchange (NGX), showing 86 per cent growth in gross earnings from N2.13 trillion in 2023 to N3.97 trillion in 2024 driven by a 138 per cent increase in interest income, supported by investment in high-yield government securities, and growth in the Bank’s loan book.
Adaora Umeoji Group Managing Director stated the year’s performance underscores the Bank’s unwavering commitment to innovation and customer-centric solutions. We will also remain focused on deepening financial inclusion, enhancing service delivery, and creating value for our customers and stakeholders.
Zenith Bank’s profit before tax (PBT) rose by 67 per cent, reaching N1.3 trillion in 2024 from N796 billion in 2023, driven by a combination of top-line expansion and efficient treasury portfolio management.
Net interest income increased by 135 per cent from N736 billion in 2023 to N1.7 trillion, reinforcing the Bank’s strong core banking performance and ability to grow earnings despite macroeconomic headwinds. Non-interest income also grew by 20 per cent from N919 billion to N1.1 trillion.
The Bank’s total assets grew by 47 per cent from N20 trillion in 2023 to N30 trillion in 2024, underpinned by a strong liquidity position and effective balance sheet management.
Customer deposits surged by 45 per cent from N15 trillion to N22 trillion in 2024, reflecting 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 per cent on the back of the injection of new capital, while Return on Average Assets (ROAA) remained unchanged at 41 per cent. The Bank’s cost-to-income increased slightly from 36.1 per cent to 38.9 per cent, despite inflationary pressures. Its Non-Performing Loan (NPL) ratio stood at 4.7 per cent, with a coverage ratio of 223 per cent, underscoring the Bank’s prudent risk management and commitment to maintaining a resilient loan book, ensuring stability and confidence in the Bank’s operations.
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