Zenith Bank Plc, one of Nigeria's largest tier-one lenders, reported pre-tax profit of N360.9 billion for the first quarter of 2026, alongside gross earnings of N1.008 trillion, in unaudited results submitted to the Nigerian Exchange on Thursday.
Gross earnings rose 6.14 per cent year on year to N1,008.17 billion, the bank said, driven by increases in both interest income and non-interest income. Pre-tax profit rose 2.87 per cent from N350.82 billion a year earlier, while profit after tax edged up 0.69 per cent to N314.02 billion.
INTEREST INCOME AND MARGIN RESILIENCE
Interest income advanced 3.76 per cent year on year to N869.10 billion, the group said, which the bank attributed to expansion of its risk asset portfolio, supported by disciplined, risk-adjusted pricing. Net interest income, a key measure of core banking profitability, grew about 7 per cent to N634.08 billion, outpacing gross interest income as interest expense fell 4.64 per cent to N235.02 billion.
The performance was driven by strong interest income and lower interest expenses. Customer deposits rose 7.87 per cent year on year to N24.47 trillion.
The results follow the recapitalisation drive prompted by the Central Bank of Nigeria's revised minimum capital requirements, which pushed tier-one lenders to bolster their capital bases through rights issues and public offers.
ASSET QUALITY IMPROVES FURTHER
The bank's non-performing loan ratio eased to 3.79 per cent, within the regulator's 5 per cent prudential ceiling and slightly better than the 3.82 per cent recorded in December 2025.
Loan impairment charges rose 16.53 per cent to N57.57 billion, while cost of risk moderated to 2 per cent.
Cost of funds fell to 3.76 per cent from 3.90 per cent a year earlier.
Zenith operates alongside Access Holdings, GTCO, United Bank for Africa and First HoldCo at the top tier of the Nigerian banking market, and its net fee and commission income rose 44.53 per cent to N81.05 billion in the quarter, while non-interest income increased 19 per cent to about N106 billion.