Zenith Bank has demonstrated its continued dominance in Nigeria’s banking sector with an outstanding performance in the third quarter of 2024, positioning itself for a strong finish to the year. The bank reported an impressive 98.5% year-on-year growth in its profit before tax (PBT), reaching N1.0 trillion. This remarkable achievement highlights Zenith’s resilience despite a challenging economic environment, with experts forecasting even greater success in the final quarter of 2024.
Analysts attribute the bank’s robust performance to its ability to optimise interest-bearing assets amidst rising interest rates. Zenith’s net interest income (NII) has surged, demonstrating the bank’s strategic management of lending and investment portfolios. The bank’s non-interest revenue (NIR) has also shown significant growth, particularly driven by trading gains, underlining the diversification of its income streams.
Looking ahead, Zenith Bank is projected to close 2024 with a profit after tax (PAT) of N1.1 trillion, reflecting a year-on-year growth of 63.5%. Earnings per share (EPS) are expected to hit N35.3, showcasing the bank’s ability to generate substantial returns for its shareholders.
In a bid to sustain its growth trajectory, Zenith has initiated a rights issue and public offer, raising N289.38 billion. This move will strengthen its capital base and expand its lending capacity, with funds also earmarked for technological investments to enhance operational efficiency and support market expansion.
Financial analysts note that Zenith’s focus on technology and its diversified trading portfolio positions the bank for sustained growth, even amid volatile interest rates.
As Zenith Bank continues to lead in Nigeria’s financial sector, its strong financial health, capital-raising efforts, and innovative strategies make it an attractive investment opportunity moving into 2025. With a clear path to further growth, Zenith is poised to maintain its leadership and deliver substantial value to its shareholders.