Zenith Bank Plc has announced a pre-tax profit of N1 trillion for the nine-month period ending September 30, 2024, including N275.8 billion in pre-tax profit recorded for the third quarter.
This marks a significant 98.57% year-over-year increase, up from the N505 billion recorded for the same nine-month period in 2023.
The company’s net interest income also displayed exceptional growth, surging by 208.43% from N415.2 billion in the previous year to an impressive N1.2 trillion.
Furthermore, Zenith Bank Plc’s gains from equity instruments at fair value climbed significantly, rising 107.30% year-over-year from N73.8 billion to N153.1 billion.
Key Financial Highlights (2024 vs. 2023)
- Gross Profit: N2.8 trillion, +118.16% YoY
- Net Interest Income: N1.2 trillion, +208.43% YoY
- Net Fee and Commission Income: N174.2 billion, +119.64% YoY
- Trading Income: N686.3 billion, +438.83% YoY
- Personnel Expenses: N150.6 billion, +70.40% YoY
- Pre-tax Profit: N1 trillion, +98.57% YoY
- Equity Fair Value Gain: N153 billion, +107.30% YoY
- Total Assets: N30.38 trillion, +67.30% YoY
- Cash and Cash Equivalents: N2.8 trillion, +5.06% YoY
Commentary
Zenith Bank Plc’s gross profit reached N2.8 trillion for the nine-month period, a 118.16% year-over-year increase from the N1.3 trillion reported in the previous year, while net interest income also rose sharply by 208.43%.
The company’s income from net fees and commissions grew by 119.64% year-over-year to N174.2 billion, while trading income recorded a substantial 438.83% surge.
Despite an increase in personnel expenses by 70.40% year-over-year, the company’s overall profitability remained strong, achieving a nine-month pre-tax profit of N1 trillion, with N275.8 billion contributed in Q3 2024 alone.
Post-tax profit grew by 90.54% year-over-year, reaching N827.2 billion from the previous N424.1 billion, while gains on equity at fair value also strengthened the company’s income, rising 107.30% to N153 billion.
Strong Asset Position
- As of September 30, 2024, Zenith Bank Plc reported total assets of N30.3 trillion, largely supported by N9.4 trillion in loans and advances to customers.
- Total liabilities, however, rose to N28.8 trillion, up from N16.2 trillion reported in the same period the previous year.
Cash Flow Performance
- Zenith Bank Plc demonstrated a strong cash flow position, with operating cash flows amounting to N685.66 billion for the period.
- Investment activities resulted in a net cash outflow of N971.64 billion, primarily due to significant investments in treasury bills and property, while financing activities saw a net cash outflow of N102.26 billion, largely from long-term borrowing repayments and dividend payments.
- Despite these outflows, the bank ended the period with a strong cash reserve of N2.84 trillion, reflecting a stable liquidity position for the nine-month period.
