Zenith Bank Plc, Nigeria’s most profitable lender, reported another strong profit after tax of N53.060 billion in the first quarter (Q1) of 2021.
In the unaudited financial statement obtained by Investors King, the amount was higher than the N50.5 billion achieved in the first quarter of 2020.
Gross earnings moderated from N166.814 billion in Q1 2020 to N157.309 billion in Q1 2021.
Interest and similar income also declined from N114.330 billion in Q1 2020 to N114.330 billion in Q1 2021. While the bank cut down on interest and similar expenses from N32.829 billion recorded in the first quarter of 2020 to N18.008 billion.
Net interest income stood at N83.168 billion, up from N81.501 billion achieved in Q1 2020.
Profit before tax expanded from N58.788 billion in Q1 2020 to N61.022 billion in Q1 2021.
The lender paid N7.962 billion in income tax in the first quarter of 2020, while profit after income tax deduction stood at N53.060 billion.
Zenith Bank gained N5.698 billion from foreign currency translation differences and another N1.387 billion from fair value movements on equity instruments to bring other comprehensive income for the quarter to N6.065 billion.
Therefore, total comprehensive income for the quarter stood at N59.125 billion.
Going forward in 2021, Zenith Bank said the ongoing economic recovery and improvements would translate into improved financial performance.
“This is expected to be supported by local and international COVID-19 vaccination campaigns, rising commodity prices, and global economic growth of up to six per cent, as estimated by the International Monetary Fund (IMF).
“The Group will continue to position itself to take advantage of positive developments in the domestic and global economy to deliver improved financial performance and returns to all its stakeholders,” Zenith Bank noted.
