Zenith Bank’s 2022 gross earnings up by 24% 

Despite the persistent challenging macroeconomic environment and headwinds, Zenith Bank Plc has announced gross earnings of N945.5 billion in 2022 compared to N765.6 billion in 2021.  This is a 24 per cent rise from the figures in 2021. 


According to the audited financial results for the 2022 financial year presented to the Nigerian Exchange (NGX), the double-digit growth in gross earnings was driven by a 26% year-on-year (YoY) growth in interest income from N427.6 billion to N540.2 billion and a 23% year-on-year (YoY) growth in non-interest income from N309 billion to N381 billion. 

Profit before tax also grew by 2% from NGN280.4 billion to NGN284.7 billion in the current year. The increase in profit before tax was due to the significant growth in all the income lines.


The report said, impairments grew by 107% from NGN59.9 billion to N124.2 billion, while interest expense grew 63% YoY from N106.8 billion to N173.5 billion, respectively. 


The impairment growth, which also resulted in an increase in the cost of risk (from 1.9% in 2021 to 3.3% in the current year), was due to the impact of Ghana’s sovereign debt restructuring programme. The growth in interest expense increased the cost of funds from 1.5% in 2021 to 1.9% in 2022 due to hikes in interest rates globally. 

Customer deposits increased by 39%, growing from N6.47 trillion in the previous year to N8.98 trillion in the current year. The growth in customer deposits came from all products and deposit segments (corporate and retail), thus consolidating the bank’s market leadership and indicating customers’ trust. 


The continued elevated yield environment positively impacted the bank’s Net-Interest-Margin (NIM), which grew from 6.7% to 7.2% due to an effective repricing of interest-bearing assets. Operating expenses grew by 17% YoY, but growth remains below the inflation rate.