Zenith Bank posted N406.8bn pre-tax profit in Q2, on track to hit N1trn by year end

Zenith Bank has reported its 2024 second quarter results, showing pre-tax profits topped N406 billion in the second quarter of 2024 as forex-related gains boosted the bottom line.

The profits represent a 370 per cent increase year-on-year when compared to the N86.8bn reported a year earlier.

Zenith Bank’s profits got a major boost from gains made on its trading books which soared to N871.6bn for the first six months of the year, up from N77.9bn a year earlier. This helped propel half-year pre-tax profits to a whopping N727bn, suggesting Zenith Bank is on track to be the first commercial bank to hit N1trn in profits by the end of the year.

Zenith Bank’s profits were driven by trading gains of N871.6bn (net N795bn) compared to N77.9bn (net N103bn).

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The company explained that the trading gains included N123bn in gains on derivatives compared to N65.2bn.

Despite the gains in derivatives, Zenith Bank took a major impairment loss of N359.3bn in the second quarter alone, taking its total impairments to N415.2bn for the year.

Zenith Bank declared an interim dividend of N1 per share.