Zenith Bank delights shareholders by paying milestone dividend of N100.47bn
Zenith Bank Plc shareholders unanimously approved the proposed final dividend payment of NGN2.90 per share. The total dividend for the fiscal year 2022 is NGN3.20 per share, with a total value of NGN100.47 billion.
The dividend payment was approved at the Bank’s 32nd Annual General Meeting (AGM), which was held virtually in Lagos yesterday.
Jim Ovia, the bank’s founder and chairman, expressed his gratitude to the shareholders in his opening statement at the AGM for their unwavering loyalty, commitment, and support, which have been instrumental in the bank’s outstanding performance since its inception.
Dr. Ebenezer Onyeagwu, Group Managing Director/CEO, praised the founder and chairman for establishing the legacy and laying the groundwork for the bank’s continued superior performance.
He also emphasised the Board of Directors’ and Management’s commitment to maintaining the bank’s growth trajectory in the coming years, with a focus on digital and retail banking.
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Dr. Faruk Umar, president of the Association of the Rights of Nigerian Shareholders (AARNS), also spoke and praised Zenith Bank’s Board and Management for consistently delivering value to shareholders despite the challenging economic environment. He also praised the bank’s employees for their dedication and loyalty.
In the same vein, Chief Timothy Adesiyan, president of the Shareholders Solidarity Association of Nigeria, expressed delight at the dividend payout and thanked the Board and Management for the outstanding performance that led to the approval of both an interim and final dividend during the year.
In her remarks, Mrs. Adenike David, national coordinator of the Esteemed Shareholders Association of Nigeria, congratulated the bank and Chairman on their performance, as evidenced by the numerous awards received during the fiscal year 2022. She also praised the bank for paying a 30 kobo interim dividend and a 2.90 kobo final dividend.
Despite challenging macroeconomic conditions, Zenith Bank Group increased gross earnings by 24%, from NGN765.6 billion in 2017 to NGN945.5 billion in 2022. This was driven by a 26% YoY increase in interest income and a 23% YoY increase in non-interest income. Customer deposits increased by 39%, demonstrating the bank’s market leadership and customers’ trust. Nett interest margin (NIM) increased from 6.7% to 7.2% as a result of the higher yield environment. Operating expenses increased by 17% year on year, but remained below the inflation rate. Total assets increased by 30%, owing primarily to increases in customer deposits.
Zenith Bank Group intends to expand its reach and reorganise into a holding company structure in 2023, adding new verticals to its businesses and pursuing growth in all targeted markets, both locally and globally.
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Zenith Bank’s excellent track record has earned the brand numerous awards, including being named the Number One Bank in Nigeria by Tier-1 Capital for the 13th consecutive year in the 2022 Top 1000 World Banks Ranking published by The Banker Magazine; Bank of the Year (Nigeria) in The Banker’s Bank of the Year Awards 2020 and 2022; and Best Bank in Nigeria for three consecutive years from 2020 to 2022 in the Global Finance Awards. Best Commercial Bank, Nigeria in the World Finance Banking Awards in 2021 and 2022; Best Corporate Governance Bank, Nigeria in the World Finance Corporate Governance Awards in 2022; Best in Corporate Governance’ Financial Services’ Africa, for three consecutive years from 2020 to 2022, by the Ethical Boardroom; Best Commercial Bank, Nigeria and Best Innovation In Retail Banking, Nigeria in the International Banker 2022 Banking Awards. In addition, the bank was named the Most Valuable Banking Brand in Nigeria in Banker Magazine’s Top 500 Banking Brands 2020 and 2021, as well as Retail Bank of the Year for three consecutive years from 2020 to 2022, at the BusinessDay Banks and Other Financial Institutions (BAFI) Awards. Similarly, Zenith Bank was named Most Innovative Bank of the Year 2019 by Tribune Newspaper, Bank of the Year 2020 by Independent Newspaper, Bank of the Year 2021 by Champion Newspaper, Bank of the Year 2022 by New Telegraph Newspaper, and Most Responsible Organisation in Africa 2021 by SERAS Awards.