Zenith Bank (ZENITHBANK) Q4 2025 earnings summary

Executive summary

• Delivered gross earnings of NGN 4.19 trillion for FY2025, with profit before tax of NGN 1.26 trillion and profit after tax of NGN 1.04 trillion, maintaining leadership in profitability and Tier 1 capital in Nigeria.

• Achieved a 100% increase in total dividend per share, totaling NGN 10.00 for 2025, reflecting strong core earnings and shareholder returns.

• Expanded international presence with new branches in Manchester and Paris, regulatory approval for Paramount Bank acquisition in Kenya, and imminent launch in Cote d'Ivoire.

• Embedded ESG principles and digital transformation, including a complete overhaul of IT infrastructure and investment in AI.

• Expanded customer base to 36.7 million, with digital channels driving transaction growth and efficiency.

Financial highlights

• Gross earnings rose 6% YoY to NGN 4.19 trillion, with net interest income up 53% to NGN 2.64 trillion and profit after tax at NGN 1.04 trillion.

• Operating expenses increased by 23%, mainly from regulatory costs and inflation, while impairment charges rose 13%.

• Customer deposits increased by 11% to NGN 24.33 trillion, supporting asset growth.

• Gross loans grew 1% to NGN 11.06 trillion; total assets up 5% to NGN 31.46 trillion.

• Shareholders’ funds increased 22% to NGN 4.92 trillion.

Outlook and guidance

• FY2026 guidance targets profit before tax of NGN 1.5 trillion, profit after tax of NGN 1.2 trillion, and deposit growth of 20%.

• Targeting 20% loan book growth in 2026, focusing on manufacturing, commerce, non-oil exports, gas, and mining.

• Net interest margin guidance for 2026 is 10%, reflecting anticipated lower interest rates.

• Continued focus on digital transformation, cost efficiency, and disciplined global expansion.

• Continued investment in AI, ESG, and staff development to drive operational efficiency and sustainable growth.