Zenith Bank has confirmed it will not be returning to the market for more capital after surpassing the Central Bank of Nigeria’s (CBN) minimum capital requirement of N500 billion.

According to Group Managing Director and CEO Adaora Umeoji, the bank’s recapitalization is complete, having achieved 160% of the target following its recently concluded hybrid offering.

Speaking at the bank’s Annual General Meeting in Lagos, Umeoji said, “We have finalized our recapitalization exercise and have reached 160% capitalization. We are not under any pressure to go back for the second time to raise money. Our robust capital structure allows us to continue delivering value to our shareholders.”

In January 2025, Zenith Bank raised N350.46 billion through a combination of a rights issue and a public offer.

The hybrid raise comprised 5.23 billion ordinary shares at N36 per share in the rights issue, and 2.77 billion ordinary shares at N36.5 per share in the public offer.

The capital raise brought the bank’s total capital base to N614.65 billion, well above the new regulatory benchmark set by the CBN.

Zenith Bank also reported strong financial results for the 2024 financial year.

Profit before tax surged by 67% to N1.3 trillion, up from N796 billion in 2023, driven by top-line growth and effective treasury portfolio management.

Net interest income rose by 135% to N1.7 trillion from N736 billion the previous year.

Non-interest income climbed 20% to N1.1 trillion, compared to N919 billion in 2023.

Umeoji reaffirmed the bank’s dedication to rewarding shareholders.

“We will continue to deliver dividends and maintain the confidence of our investors,” she said, highlighting that Zenith Bank has a long-standing tradition of consistent returns.

She also addressed the rise in interest expenses during 2024, linking it to growth in the bank’s deposit base and changes in the Monetary Policy Rate (MPR).

“Our deposit base grew from N15.1 trillion in 2023 to N21.9 trillion in 2024, which impacted our interest expense and asset repricing,” Umeoji explained.

She added that the MPR increase, from 18.75% in February 2023 to 27.5% in November 2024, affected the bank’s effective cost of funds, especially in its savings products.

Shareholders welcomed the final dividend of N5.00 per share.

One of them, Chief Timothy Ayobami Adeshiyan, said, “I am proud to be both a shareholder and customer of Zenith Bank. They have maintained professionalism and reliability, making it easy to recommend them. The growth of customer deposits shows their commitment to service. The N5 dividend payout was promised, and they delivered, which reinforces our confidence in the bank.”

Despite an injection of new capital, the bank maintained solid returns.

Return on Average Equity (ROAE) settled at 32.5%, while Return on Average Assets (ROAA) held steady at 4.1%.

Cost-to-income ratio rose slightly to 38.9% from 36.1%, reflecting inflationary pressures.

The Non-Performing Loan (NPL) ratio stood at 4.7% with a strong coverage ratio of 223%, demonstrating Zenith’s prudent risk management.

With a fortified capital base and a strong earnings profile, Zenith Bank is positioning itself to remain a dominant force in Nigeria’s banking sector while delivering long-term value to shareholders.