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Zenith Bank, under the stewardship of Nigerian banking tycoon Jim Ovia, has announced a final dividend payout of N109.89 billion ($88.3 million) for the 2023 fiscal year, a testament to its remarkable financial milestones in 2023.
The record dividend payout underscores its unwavering dedication to shareholder value and its position as a top player in Nigeria’s banking sector. With Ovia at the helm, the bank continues to achieve remarkable financial milestones, solidifying its reputation in the country’s financial services industry.
Bank to reward shareholders following surge in profits
Subject to the approval of shareholders at its forthcoming Annual General Meeting, Zenith Bank, led by Ovia, Nigeria’s wealthiest banker, will disburse a dividend of N3.5 ($0.01133) per share or N109.89 billion ($88.3 million) on May 8, electronically crediting the bank accounts of shareholders listed on the Register of Members as of April 25, 2024.
Under Ovia, Zenith Bank witnessed a staggering 202.3-percent surge in profit, reaching a record N676.91 billion ($522.03 million) in 2023. This meteoric rise was propelled by a combination of burgeoning interest income and substantial gains from foreign exchange portfolio revaluations.
Interest income skyrocketed by 111.9 percent, rising from N540.17 billion ($416.6 million) in 2022 to N1.144 trillion ($887 million) in 2023, solidifying Zenith Bank’s position as the nation’s leading lender. Moreover, trading income from foreign exchange revaluations experienced a substantial upswing, surging from N212.7 billion ($164.05 million) to N566.97 billion ($437.3 million) during the same period.
Rewarding shareholders, maximizing value
Zenith Bank’s robust financial performance translated into a surge in total comprehensive income, which catapulted from N196.65 billion ($152.65 million) to N1.05 trillion ($815.06 million).
Additionally, total assets swelled from N12.28 trillion ($9.55 billion) as of December 31, 2022, to N20.37 trillion ($15.84 billion) by December 31, 2023. Retained earnings also witnessed a substantial increase, ascending from N625 billion ($486.2 million) to N1.18 trillion ($918 million).
In recognition of this monumental achievement and the bank’s commitment to rewarding shareholders, Zenith Bank’s board of directors proposed 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 amounts to N4 ($0.00309) per share.
This signifies a rise from the total dividend per share of N3.2 ($0.00247) distributed in 2022, comprising an interim dividend of N0.3 ($0.0002319) per share and a final dividend of N2.9 ($0.00224) sourced from retained earnings.
