ZENITHBANK CAPS STELLAR Q3 2023 PERFORMANCE WITH TRIPLE-DIGIT GROWTH IN TOPLINE AND BOTTOM LINE

Zenith Bank Plc has announced its unaudited results for the third quarter ended 30th

September 2023 ,recording are remarkable triple-digit growth of 114% from N620.6 billion

reportedinQ32022toN1.33trillioninQ32023.Thisperformancedemonstratesthe

Group’sresilienceandstrongmarketsharedespiteaverychallengingmacroeconomic

environment.

Accordingtothebank’sunauditedthirdquarterfinancialresultspresentedtotheNigerian

Exchange (NGX),the triple-digit growth in the topline also enhanced the bottom line, as the

Group recorded an149% Year on Year (YoY) increase in profit before tax,,growing from

N202.5 billion in Q3 2022 to N505 billion in Q3 2023 .Profit after tax also grew by 149%

from N174.3 billion to N434.2 billion in the same period.

The growth in the topline arose from both interest income and non-interest income. Interest

income grew in the current period by 72% to N670.9 billion from N390.8 billion in Q3 2022,

while non-interest income grew by 186% from N212 billion to N607.2 billion. The growth in

profit is similarly attributable to the twin effects of the improvement in interest and non-

interestincome.Interestincomeincreasedbecauseofthegrowthinriskassetsaswellas

the effective pricing thereon .The non-interest income growth is largely driven by the

revaluation gain due to the unification of exchange rates during the year.

The cost-to-income ratio reduced from 55.8% in Q3 2022 to 37.8% in the current period.Impairment

levelsincreasedduetothedeliberateincrementalprovisionsnecessitatedbythe

conservativeapproachtowardstheheightenedriskenvironmentandthecreationofa

counter-cyclical buffer needed to deal with any impending volatility of exchange rates.This

caused the cost of risk to deteriorate from 1.3% in Q3 2022 to 5.5% in Q3 2023,however

this is an improvement from Q2 2023 where cost of risk printed at 8.8% because of prudent

management of risk assets.

Total assets grew by 48% from N12.3 trillion to N18.2 trillion in the period ended 30

September 2023, mainly driven by growth in customers’ deposits. Customers’ deposits grew

b y 49%fromN8.98trillioninDecember2022toN13.38trillioninSeptember2023.The

growthincustomers’depositscutsacrossbothcorporateandretailsegmentswiththe

savings portfolio (all currencies) growing from N2.7 trillion in December 2022 to N4.6 trillion

in September 2023.

Gross loans increased by 48% from N4.1trillion in December 2022 to N6.1 trillion in

September2023duetotherevaluationofforeigncurrencydenominatedloansaswellas

the growth in local currency loans to strategic and thriving sectors of the economy. The non-

performing loan ratio improved to 3.8% in the period ended 30th September 2023, which is

well below prudential limits. Net interest margin (NIM) printed at 5.6% from 6.2% reported in

September 2022 due to low yielding over securities .Capital adequacy ratio

improved marginally to 20.1% from 19.8% while liquidity ratio declined from 75% to 68%.

However, all our prudential ratios remain above regulatory thresholds.

The Group is optimistic of finishing the year 2023 strong, with focus on sustainable quick

wins that would boost growth across all business segments and enhance stakeholder value.

ZenithBank’strackrecordofexcellentperformancehascontinuedtoearnthebrand

numerous awards including being recognized as the Number One Bank in Nigeria by Tier-1

Capital,for the 14th consecutive year,in the 2023 Top 1000 World Banks Ranking

published by The Banker Magazine ;Best Commercial Bank,Nigeria,for three consecutive

years from 2021 to 2023 ,in the World Finance Banking Awards;Best Corporate

Governance Bank,Nigeria in the World Finance Corporate Governance Awards 2022 and

2023; Bank of the Year (Nigeria)in The Banker’s Bank of the Year Awards 2020 and 2022;

Best Bank in Nigeria, for three consecutive years from 2020 to 2022,in the Global Finance

World’s Best; Best in Corporate Governance’ Financial Services’Africa,for

four successive years from 2020 to 2023,by the Ethical Boardroom. Most Sustainable

Bank, Nigeria in the International Banker 2023 Banking Awards; Best Commercial Bank,

Nigeria and Best Innovation In Retail Banking,Nigeria in the International Banker 2022

Banking Awards.

Also,the bank emerged as the Most Valuable Banking Brand in Nigeria in the Banker

Magazine Top 500 Banking Brands 2020 and 2021; Bank of the Year 2023 and Retail Bank

of the Year,for three consecutive years from 2020 to 2022, at the Business Day Banks and

Other Financial Institutions (BAFI) Awards.Similarly,Zenith Bank was named Bank of the

Decade (People’s Choice)at the This Day Awards 2020,Bank of the Year 2021by

Champion Newspaper,Bank of the Year 2022 by New Telegraph Newspaper, and Most

Responsible Organisation in Africa 2021 by SERAS Awards.

ZENITHBANK CAPS STELLAR Q3 2023 PERFORMANCE WITH TRIPLE-DIGIT GROWTH IN TOPLINE AND BOTTOM LINE

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