Through 2019, Zenith Bank has maintained a slow growth trajectory, recording moderate single-digit growth numbers in revenue and earnings. Although interest income has contracted for consecutive quarters, the bank has been able to strengthen its non-interest income, which has strengthened Gross earnings. As at 9M:2019, gross earnings was NGN491.27bn, reflecting a 3.51% increase from the corresponding period in the previous year. Operating with an improved cost optimization strategy, the rise in operating expenses has been kept under wraps and operating income has been steady, enabling the bank to post impressive profits. By the end of the third quarter, PAT had grown by 4.54% to NGN150.72bn. A reach to attain the new regulatory loans-to-deposits ratio saw strengthened the bank’s drive to expand its loan books which grew by NGN241.18bn in the third quarter alone. However, the bank remained short of the required ratio and still has a long way to go in meeting the required 65% ratio. While we expect the bank to intensify efforts at achieving this ratio, we believe it could prove a herculean task for the bank. Nonetheless, we expect the bank to end the year in a stronger financial position than in 2018. Kindly find attached the full report.
Earnings Update- ZENITH- 9M: 2019.
Through 2019, Zenith Bank has maintained a slow growth trajectory, recording moderate single-digit growth numbers in revenue and earnings. Although interest income has contracted for consecutive quarters, the bank has been able to strengthen its non-interest income, which has strengthened Gross earnings. As at 9M:2019, gross earnings was NGN491.27bn, reflecting a 3.51% increase from the corresponding period in the previous year. Operating with an improved cost optimization strategy, the rise in operating expenses has been kept under wraps and operating income has been steady, enabling the bank to post impressive profits. By the end of the third quarter, PAT had grown by 4.54% to NGN150.72bn. A reach to attain the new regulatory loans-to-deposits ratio saw strengthened the bank’s drive to expand its loan books which grew by NGN241.18bn in the third quarter alone. However, the bank remained short of the required ratio and still has a long way to go in meeting the required 65% ratio. While we expect the bank to intensify efforts at achieving this ratio, we believe it could prove a herculean task for the bank. Nonetheless, we expect the bank to end the year in a stronger financial position than in 2018. Kindly find attached the full report.