Zenith Bank Plc, Nigeria’s largest lender by market capitalization, recorded a flat performance in the first quarter of 2026, with profit after tax settling at ₦314 billion, compared to ₦311.83 billion in the corresponding period of 2025.
The marginal growth reflects a challenging quarter characterized by a sharp swing on the trading desk and higher impairment charges.
Impairment charges for Zenith Bank jumped 16.6% to ₦57.57 billion from ₦49.37 billion a year earlier, with ₦41.68 billion tied to loans and advances, up from ₦35.94 billion. Provisions also rose across investment securities, treasury bills, interbank claims, and collateral assets.
Q1 2026 Financial Scorecard: The Earnings Mix
Net interest income after impairments edged 6.4% higher to ₦576.5 billion. Fee and commission income surged 44.6% to ₦81 billion, fueled by stronger non-interest revenue.
Trading took a hit, swinging to a ₦24.78 billion loss from last year’s ₦22.17 billion gain, including ₦17.52 billion on other trading positions and losses on fair-value treasury bills and bonds.
Offsetting the drag, other operating income soared 356% to ₦50.18 billion, driven by ₦19.97 billion in loan recoveries and ₦30 billion FX revaluation gains.
| Metric | Q1 2025 (₦ Billion) | Q1 2026 (₦ Billion) | Percentage Change |
| Earnings (PAT/Flat Line) | 311.83 | 314.00 | +0.7% |
| Net Interest Income | 541.81 | 576.50 | +6.4% |
| Impairment Charges | 49.37 | 57.57 | +16.6% |
| Net Fee and Commission | 56.00 | 81.00 | +44.6% |
| Trading Income | +22.17 | (24.78) | Swing to Loss |
| Other Operating Income | 11.06 | 50.18 | +353.7% |
Source MoneyCentral, Zenith Bank
Strategic Outlook
Zenith Bank remains well-capitalized, providing a robust buffer to navigate the remainder of 2026.
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Asset Quality Review: The growth in loan recoveries provides a positive signal for future earnings quality, allowing the bank to maintain its generous dividend payment run-rate established in the 2025 financial year.
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