Zenith Bank Plc has recorded a growth in profit before tax of 3% from N114 billion reported in half year of 2020 to N117 billion in half year of 2021.
The bank’s audited half-year financial results presented to the Nigerian Exchange (NGX) saw the lender recording positive growth across key financial metrics despite a challenging macroeconomic environment exacerbated by the COVID-19 pandemic.
The Group also recorded a 9% growth in non-interest income from N116 billion in June 2020 to N127 billion in June 2021.
Overall, the significant reduction in interest expense by 26% and growth in non-interest income by 9% culminated in improved profitability.
The report showed that retail deposits grew by N38.2 billion from N1.72 trillion to N1.76 trillion year-to-date (YTD) while Savings balances grew marginally by 2% YTD to close at N1.18 trillion from N1.16 trillion as at December 2020.
The Group also increased total customer deposits by 8% to close the period at N5.77 trillion, demonstrating growth in the market share.
Total assets grew marginally to N8.52 trillion as at 30 June 2021 from N8.48 trillion recorded as at 31 December 2020.
The Group also grew its risk assets as gross loans were up by 3% YTD, from N2.92 trillion to N2.99 trillion. This was conservatively achieved at a low Non-Performance Loans (NPL) ratio of 4.51% (FYE 2020: 4.29%) and a reduced cost of risk of 1.3% (June 2020: 1.8%).