Zenith Bank, led by Nigerian banking billionaire Jim Ovia, has declared a final dividend payout of N109.89 billion ($88.3 million) for the 2023 fiscal year, reflecting significant financial milestones.
The company’s record dividend payout demonstrates its consistent commitment to shareholder value and its position as a leading participant in Nigeria’s banking sector. With Ovia at the helm, the bank has continued to reach significant financial milestones, consolidating its position in the country’s financial services business.
Zenith Bank, led by Ovia, Nigeria’s wealthiest banker, plans to pay a dividend of N3.5 ($0.01133) per share or N109.89 billion ($88.3 million) on May 8, electronically crediting shareholders’ bank accounts as of April 25, 2024.
Zenith Bank’s profit surged by 202.3 percent under Ovia, reaching a record of N676.91 billion ($522.03 million) in 2023. This precipitous surge was driven by a mix of rising interest income and significant gains from foreign exchange portfolio revaluations.
Interest income increased by 111.9 percent, from N540.17 billion ($416.6 million) in 2022 to N1.144 trillion ($887 million) in 2023, firmly establishing Zenith Bank as the nation’s top lender. Furthermore, trading income from foreign exchange revaluations increased significantly, rising from N212.7 billion ($164.05 million) to N566.97 billion ($437.3 million) over the same time.
Zenith Bank’s strong financial performance resulted in a significant increase in total comprehensive income, which rose from N196.65 billion ($152.65 million) to N1.05 trillion ($815.06 million).
Additionally, total assets increased from N12.28 trillion ($9.55 billion) on December 31, 2022, to N20.37 trillion ($15.84 billion) on December 31, 2023. Retained earnings also increased significantly, from N625 billion ($486.2 million) to N1.18 trillion ($918 million).
In honor of this historic achievement and the bank’s commitment to rewarding shareholders, Zenith Bank’s board of directors suggested a final dividend of N3.5 ($0.00271) per share. Combined with the interim dividend of N0.5 ($0.000386) per share, the total dividend per share is N4 ($0.00309).
This represents an increase over the total dividend per share of N3.2 ($0.00247) distributed in 2022, which included an interim dividend of N0.3 ($0.0002319) per share and a final dividend of N2.9 ($0.00224) derived from retained earnings.
