Zenith Bank’s pre-tax profits surged by an impressive 99 percent, reaching N1 trillion by the end of the third quarter of 2024, up from N505 billion in the same period last year.
In its Q3 2024 unaudited financial statement, submitted to the Nigerian Exchange Limited and covering the period ending September 30, 2024, Zenith Bank reported a notable 118 percent rise in gross earnings to N2.9 trillion from N1.33 trillion in Q3 2023. This achievement came despite challenging economic conditions in Nigeria. Additionally, profit after tax saw a 91 percent increase, rising to N827 billion from N434.2 billion in Q3 2023.
A statement from the bank on Thursday attributed the significant revenue growth to increased interest and non-interest income. Interest income rose by 190 percent to N1.95 trillion, boosted by high-yielding investments. Non-interest income also grew by 41 percent to N856 billion, driven by a marked increase in fees and commissions. The bank’s profitability reflected its focus on efficiency and solid risk management, with earnings per share nearly doubling to N26.34, up from N13.82 in Q3 2023, signaling strong value generation for shareholders.
Zenith Bank’s balance sheet also showed remarkable growth, with total assets rising by 49 percent to N30.4 trillion, largely supported by a 42 percent increase in customer deposits to N21.6 trillion. This surge in deposits spanned corporate and retail segments, illustrating the bank’s broadening customer base and loyalty. Gross loans grew by 46 percent to N10.3 trillion, demonstrating the bank’s dedication to supporting key sectors of the economy.
On capital-raising initiatives, Zenith Bank announced it was awaiting final regulatory confirmation for its capital following a capital-raising initiative launched on August 1, 2024, which included both a rights issue and public offering. This step was in response to the Central Bank of Nigeria’s recapitalization directive for commercial banks issued in March 2024. The successful capital raise reflects strong investor confidence in Zenith Bank.
The bank explained that this new capital will help it expand its product range, increase its presence in essential sectors, enhance lending to the real economy, and further its African and global expansion strategy. In line with this, Zenith Bank gained regulatory approval in September 2024 to open a branch in Paris, France. This branch is now operational, supporting the bank’s service offerings in international markets.
