The shareholders of Zenith Bank Plc have approved the record N125bn dividend proposed by the group’s board of directors.
The approval was given at the 33rd Annual General Meeting of Zenith held at the Civic Centre, Victoria Island, Lagos, on Wednesday.
The bank’s directors had proposed a final dividend of NGN3.50 per share, bringing the total dividend for 2023 to N4 per share.
The banking group paid N125.59bn as a dividend for the 2023 financial year, which is the highest dividend payout by any bank for last year.
Mrs Bisi Bakare, the national coordinator of the Pragmatic Shareholders Association of Nigeria, expressed her delight in the exceptional performance of the bank.
She declared: “Shareholders are very pleased today to receive a final dividend of N3.50 from Zenith Bank. Following an interim dividend of 50 kobo paid last December, the total dividend for the 2023 Annual General Meeting amounts to N4.00— the highest in the banking sector to date.
“We truly appreciate this and are optimistic that the transition to a holding company will bring even greater returns. Zenith Bank’s numerous accolades this year position it as the leading bank in the country. We anticipate that the 2024 AGM, marking the first year as a holding company, will be even more promising for Zenith.”
Dr Faruk Umar, the president of the Association of the Rights of Nigerian Shareholders, lauded the group’s chairman for facilitating a seamless succession plan.
He stated, “The bank has performed exceptionally well, particularly in terms of succession planning. It is encouraging to see the new managing director promoted from within, reinforcing our belief in the bank’s leadership development. This internal promotion strategy motivates our staff, giving them confidence that they can aspire to the highest levels within the bank.”
Dr Jim Ovia, the founder and chairman of Zenith Bank, thanked the shareholders for their unflinching support and loyalty to the Zenith brand, which had been instrumental to its consistent superior performance.
Speaking on his forthcoming retirement, Dr Ebenezer Onyeagwu, the group managing director/chief executive officer, said, “As I prepare to pass the baton to Dame Adaora Umeoji, I am confident in the bank’s trajectory under her leadership. I would like to express my profound gratitude to our founder and Chairman, Dr Jim Ovia, CFR, and to the board, shareholders, customers, and staff for their steadfast support throughout my tenure.
“I earnestly request that you extend the same level of support to my successor. It has been a remarkable journey and I am immensely proud of what we have accomplished together. As I commence the mandatory regulatory cooling-off period, I am filled with optimism for Zenith Bank’s future, assured that we are on the path to even greater success.
In 2023, Zenith Bank Group achieved a 125 per cent growth in gross earnings to N2.13tn, from N945.6bn in the previous year, driven by a 112 per cent growth in interest income and a 141 per cent growth in non-interest income.
In 2024, Zenith Bank Group plans to expand its reach following its restructuring into a holding company structure, adding new verticals to its businesses and pursuing growth in all chosen markets, locally and internationally.
