Zenith Bank Ghana Reports Remarkable 82.22% Growth in Pre-Tax Profit for Third Quarter of 2023

Accra, Ghana – Zenith Bank Ghana Limited, a leading financial services provider, has recorded an impressive 82.22 per cent growth in pre-tax profit for the third quarter ending September 30, 2023. This significant financial achievement reflects the Bank’s resilience and dedication to excellence, amid the economic challenges of the previous fiscal year.

According to the Ghana News Agency (GNA) , this strong performance is a testament to its commitment to operational excellence and the trust placed in it by its loyal customer base. Zenith Bank experienced a notable increase in net interest income, a key component of its operations, reaching GHS735.3 million. This marks a 40.83 per cent jump from the GHS522.1 million recorded in the previous year, largely attributed to the Bank’s focused efforts in optimizing its lending portfolio and providing exceptional financial services.

Mr. Henry Onwuzurigbo, the Managing Director and Chief Executive Officer of Zenith Bank, highlighted the strategic importance of diversifying income streams. He pointed out the significant 254.69 per cent increase in net trading and other income, rising from GHS74.77 million to GHS265.2 million year-on-year. “This not only underscores our ability to cater to a broad range of financial needs but also our dedication to offering comprehensive financial solutions,” he said.

These efforts have led to Zenith Bank’s operating income and pre-tax profit reaching GHS1.14 billion and GHS734.6 million respectively, representing increases of 61.34 per cent and 82.22 per cent over the previous year’s figures of GHS707.7 million and GHS403.2 million.

During the same period, the Bank’s total assets grew by 14.57 per cent to GHS12.03 billion, compared to GHS10.5 billion in 2022. This growth was primarily driven by a substantial increase in investment securities, which saw a 12.8 per cent rise to GHS5.6 billion.

The Bank’s liabilities also saw a significant surge, primarily due to a growth in customer deposits, which rose to GHS10.2 billion from GHS8.4 billion in September 2022. This 21.42 per cent increase in customer deposits demonstrates the confidence and trust clients have in Zenith Bank’s financial stability and customer service.

The Bank reported an improvement in its Liquid Ratio from 76 per cent in 2022 to 85 per cent in 2023, reflecting its ability to meet short-term obligations. Additionally, the Managing Director noted that the Bank’s Capital Adequacy Ratio stood at 23.28 per cent, well above the regulatory limit of 10 per cent and the industry average of 14.2 per cent, indicating its strength in withstanding financial shocks. The Bank’s Non-Performing Loan to Gross Loan Ratio, at 4.64 per cent, is significantly lower than the industry average of 20 per cent, showcasing the quality of its credit portfolio.

Zenith Bank Ghana’s robust financial performance and achievements over the past 18 years confirm its strong positioning for further growth and success in 2023 and beyond. A subsidiary of Zenith Bank Plc, headquartered in Nigeria, the Bank has a presence in other West African countries, the Middle East, Asia, and Europe, and is a member of the Ghana Deposit Protection Scheme.