Ovia, Elumelu to Receive Respective N25.4bn & N12.71bn Zenith & UBA Dividend as Banks Report Record Profits

Jim Ovia, president and founder of Zenith Bank, and Tony Elumelu, the president of the UBA, should receive an internship of 25.4 billion Nairas and 12.71 billion nairas nairas respectively respectively for the 2024 exercise, a result of the record performance of their banks.

The payment of Zenith, scheduled for April 15, 2025, follows a year during which the bank made an exceptional profit after tax of 1.03 Billion de Nairas, a significant increase of 52.5% compared to the N676.9 billion nairas declared the previous year.

The financial statements for the year ended December 31, 2024 reveal that the board of directors proposed a final dividend of 4.00 N.00 per share. This, when combined with the provisional dividend N1,00 by action paid earlier in the year, brings the total payment of dividends to 5.00 n per action.

For OVIA, whose direct shareholding amounts to 3,552,949,395 shares and at 1,529,851,344 actions, the total participation of 5,082,800,739 actions results in a bargain in N25,414,003,695.

The increase in the payment of dividends reflects the high performance of the bank’s profits, which saw the gross profits at 3.9 Billions de Nairas, a strong increase compared to 2.39 Billions of Nairas the previous year. An important engine of this increase in income was interest in interest, which more than doubled at 2.7 Billions from Nairas, against 1.14 Billion de Nairas in 2023.

The high interest rate environment in Nigeria, fueled by the position of aggressive monetary policy of the Central Bank of Nigeria (CBN), allowed the banks of level one like Zenith to capitalize on the increase in yields on state securities while expanding their loan books.

Zenith Bank’s net interest net income increased to 1.73 Billion from Nairas, supported by solid profits from loans and advanced as well as strategic investments in low -risk government securities such as cash bills. Most of the bank’s revenues came from its Nigerian operations, which generated 3.5 Billions of Nairas out of the total of 3.97 billions of net consolidated income.

Meanwhile, its African and European operations recorded an increase in income to 510 billion Nairas, against 281.1 billion Nairas the previous year, demonstrating the increasing international footprint of the bank.

Tony Elumelu will receive a dividend of 12.71 billion nairas from the UBA

Meanwhile, another leading name in the Nigeria financial sector, billionaire Tony Elumelu, should also receive a significant dividend payment of 12.71 billion Nairas from the United Bank for Africa (UBA) following the robust financial performance of the bank in 2024.

Elumelu, which is president of the UBA, holds a total of 2,542,511,824 actions of the bank, distributed over direct and indirect assets. Its direct participation amounted to 195,124,581 shares, while its indirect assets are spread over three investment entities: HH Capital Limited, Heirs Holdings Limited and Heirs Alliance Limited. The size of his assets secures him one of the highest individual dividend income of the latest financial results in the UBA.

The UBA declared a total dividend of 5.00 N per share, marking a significant increase compared to the previous year. The final dividend of N3.00 per share, combined with a provisional dividend of N2.00 per share, led to a total payment ratio of 26.6%, a significant leap compared to the 16.32% recorded in 2023. Consequently, the total dividend of the UBA reached 147.05 billion Nairas, compared to the financial performance of N47.88 during the year previous, reflecting the bank’s record.

The bank declared before taxation before 803.7 billion Nairas, an increase of 6% compared to 757.6 billion Nairas in 2023. The after -tax profit increased by 26.14% to 766.5 billion Nairas, marking the highest annual benefit in the history of the bank. The UBA also recorded substantial growth in key financial measures, with gross benefits of 53.6% to 3.19 Billions of Nairas, compared to 2.08 Billions of Nairas in 2023.

The UBA, one of the five largest banks in Nigeria, known as Fugaz (Firsttholdco, UBA, GTCO, Access Holding and Zenith Bank), also experienced a remarkable expansion of total assets, which increased to 30.3 billion Nairas, an increase of 9.7 Billions of Nairas compared to N20,65,000 billion the previous year. The results of the bank in 2024 in 2024 were eagerly awaited by investors, in particular in the midst of a drop in the stock market.

Over the past two years, UBA has displayed a cumulative benefit of 1.37 Billion de Nairas, a striking contrast with the 570.4 billion nairas recorded over the previous five years. This rapid growth highlights the improvement of the operational efficiency and the strategic execution of the bank. Despite economic challenges, the UBA has managed to maintain solid performance, driven by its Pan -African presence and an expanding assessment.

For Elumelu, this dividend payment strengthens its deep investment in the success of the UBA, a testimony of its role in the conduct of the expansion of the bank through Africa and beyond.

The performances of Zenith Bank and UBA highlight a booming Nigerian banking sector, which prosperous despite the economic winds. With record profits, an increase in income and substantial dividend payments, these banks continue to consolidate their positions as leading financial institutions in Africa.

The high interest rate environment, fueled by the strict monetary policy of the CBN, proved to be beneficial for banks, stimulating the growth of interest income and high financial performance. Analysts provide that with persistent inflationary pressures, level 1 banks like Zenith and UBA will continue to benefit from high income, even if economic uncertainty remains a concern.

Record payments to Jim Ovia and Tony Elumelu demonstrate the massive accumulation of wealth among the best banking leaders in Nigeria, strengthening their financial status as key players shaping the country’s financial sector.