Zenith Bank Plc recorded a stronger underlying banking performance in the first half of 2026 with profit before tax rising to N637.6 billion, supported by improved asset quality, higher fee income and continued expansion in customer lending.
According to the bank’s unaudited financial statements for the six months ended June 30, 2026, pre-tax profit increased by 1.9 percent from N625.6 billion in the corresponding period of 2025.
A major highlight was the sharp reduction in impairment charges on financial instruments, which declined by 81.5 percent to N141.1 billion from N762.1 billion a year earlier.
The improvement helped lift net interest income after impairment charges by 87.8 percent to N1.11 trillion, compared with N592.7 billion in the first half of 2025, reflecting a stronger contribution from the bank’s core lending operations after credit-loss provisions.
Net fee and commission income also increased by 39.6 percent to N178.8 billion from N128.1 billion, providing additional support to earnings.
Zenith Bank expanded its loan portfolio by 15.3 percent to N12.05 trillion as of June 2026, up from N10.45 trillion at the end of December 2025, demonstrating continued credit expansion.
Customer deposits grew by 8.3 percent to N26.35 trillion from N24.33 trillion, while total assets increased by 3.8 percent to N32.65 trillion.
The bank also significantly reduced its borrowings to N11.1 billion from N651.2 billion at the end of 2025, strengthening its funding position.
Despite these improvements, profit after tax declined by 19.1 percent to N430.8 billion from N532.2 billion, largely reflecting a higher tax charge and a reversal in trading performance.
Tax expenses rose to N206.8 billion from N93.4 billion, while trading activities recorded a loss of N92.2 billion compared with a gain of N467.8 billion in the previous year.
Nevertheless, the increase in pre-tax earnings, stronger fee income, reduced impairment charges and expanding customer deposits highlight the resilience of Zenith Bank’s underlying banking franchise.
The results position the lender to pursue further growth in the second half of 2026, although sustained profitability will depend on credit quality, operating costs and market conditions.
