Zenith Bank reported a record net profit of N1 trillion in 2024, marking a 52.6% growth compared to the previous year. The bank’s strong financial performance came despite rising interest rates, which allowed lenders to charge more on loans.
Interest income more than doubled to ₦2.7 trillion, making up 68.5% of the bank’s total revenue. Gross earnings also surged to N4 trillion from ₦2.1 trillion. Net interest income, which measures the difference between interest earned and interest paid, increased by 134.8%.
The bank set aside ₦658.8 billion to cover bad loans, reflecting the challenges borrowers faced due to high inflation. Meanwhile, trading gains jumped 94% to ₦1.1 trillion, and revenue from fees and commissions nearly doubled to ₦206.9 billion.
Zenith Bank recently raised ₦162.1 billion through a public offering and ₦188.4 billion via a rights issue. This move aims to help the bank meet the Central Bank of Nigeria’s requirement of ₦500 billion in core capital for banks with international licenses by March 2026.
The bank, which operates in Nigeria, Ghana, Sierra Leone, the UK, and The Gambia, noted that hyperinflation in Ghana reduced its pre-tax profit by ₦30 billion. It is also working on restructuring into a holding company to expand beyond banking and explore new revenue streams.
Operating expenses rose to ₦586.6 billion due to higher fuel and maintenance costs. Profit before tax increased by 66.7%, while total assets grew from ₦20.4 trillion to ₦30 trillion.
Zenith Bank announced a final dividend of ₦4 per share, bringing the total dividend for the year to ₦5 per share, amounting to a potential payout of ₦205.3 billion.