Posted by Chijama Ogbu on
Zenith Bank Plc has recorded a profit before tax of N9.16billion for the year ended June 30, 2005.
Zenith Bank Plc has recorded a profit before tax of N9.16billion for the year ended June 30, 2005.
This was achieved on gross earnings of N34.9billion, representing a 46 per cent growth over the figure of N18.85billion in the corresponding period in 2004.
The PBT figure also represents an increase of 43 per cent over the 2004 pre-tax profit of N5.22billion.
Zenith Bank Plc announced these results for the year ended 30 June 2005 on the floor of the Nigerian Stock Exchange on Friday.
The results also indicate that the bank's total assets plus contingent liabilities rose to N370billion, up from N215billion recorded last year.
This represents a growth of 72 per cent in its assets.
This result positions the bank as the third largest and the third most profitable bank in the country.
In 2004, Union Bank led all others on asset, with N367.8billion, followed by First Bank of Nigeria (N312billion), UBA (N208.8billion) and Zenith (N136.1billion).
The result also surpasses the bank's profit forecasts for the year as contained in its IPO prospectus.
The bank's directors are proposing a dividend payout of N4.2billion, which translates to 70kobo per share.
According to industry analysts, this is one of the highest amounts paid by any bank in its first year of quotation on the Nigerian Stock Exchange.
Further analysis of the bank's balance sheet shows that its deposit base grew by 78 per cent up, from N131billion in 2004 to N233billion.
In terms of deposit base, Zenith also came fourth last year with N131.09billion. Again, Union Bank was number one with N241billion, followed by First Bank (N207billion) and UBA (N151.93billion).
'This growth demonstrates the strength of the bank's brand and the increasing acceptance of its franchise as the branch network spreads across the country and the West African sub-region," Zenith Bank said in a statement on Friday.
The bank's shareholders' fund is now N38billion, which is in excess of the N25billion minimum capital base stipulated by the Central Bank of Nigeria under the new capitalisation policy.
Currently, the bank has over 100 branches nation-wide linked on-line and realtime.
The PUNCH, Monday, August 1, 2005