Nigeria’s richest banker Jim Ovia’s Zenith Bank targets $700-million profit in 2024

Omokolade Ajayi -

Key Point

  • Zenith Bank, led by Jim Ovia, aims to surpass $700 million in profit by year-end, buoyed by a record-breaking 2023 and a strong Q1.
  • CEO Adaora Umeoji outlines plans to expand into French-speaking Africa, launch fintech subsidiary ZenPay, and complete a $143.33-million recapitalization.
  • Zenith Bank prioritizes digital transformation and financial inclusion to boost customer reach and drive new revenue streams.

Zenith Bank Plc, a Lagos-based financial services group led by Nigeria’s richest banker Jim Ovia, is aiming for a record N1-trillion ($700 million) profit in 2024, building on a stellar 2023 and strong first quarter, Chief Executive Officer Adaora Umeoji said.

Umeoji, who assumed the role in June, outlined a strategic roadmap to achieve the profit goal, including expanding into French-speaking Africa, launching a fintech subsidiary named ZenPay, and completing a N230-billion ($143.33 million) recapitalization.

The bank reported a 202.3-percent surge in profit to N676.91 billion ($522.03 million) in 2023. The momentum carried over into the first quarter of 2024, with profit jumping 291.35 percent year-over-year to N258.34 billion ($188.83 million) from N66.01 billion ($48.25 million).

Nigerian lender bets big on tech to boost customer reach

Building on its impressive financial performance in recent times, Umeoji highlighted Zenith Bank’s commitment to delivering value to shareholders, underpinned by its strong leadership, robust corporate culture, and cutting-edge technology.

Zenith Bank is prioritizing digital transformation and financial inclusion. The lender plans to leverage technology to expand its corporate and retail banking footprint, potentially through innovative digital platforms. The launch of ZenPay underscores its commitment to fintech and its potential to drive new revenue streams.

Zenith Bank: From humble beginnings to dominance in Africa

Founded in 1990 by Jim Ovia, Zenith Bank has been a key driver of the evolution and digitalization of the Nigerian banking sector. Ovia remains a significant shareholder with a 16.2 percent stake (5,072,104,311 ordinary shares).

The leading financial services provider licensed by the Central Bank of Nigeria boasts a large footprint across Nigeria and Anglophone West Africa. The lender has a solid financial foundation, with its compound annual growth rate in revenue exceeding 27 percent over the past five years, according to Chief Financial Officer Mukhtar Adam.