Full Ranking: GTBank, Zenith Lead, Wema 10th in List of Nigeria's Most Profitable Banks in 2024
- 11 commercial banks have reported a combined profit after tax of over N2 trillion after six months of 2024
- The profit after tax amount of the banks is a remarkable increase of 68% when compared to the corresponding period of 2023
- Much of the rise in profits has been due to gains on foreign exchange balances held by the banks
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Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
Despite the challenging economy, Nigerian financial institutions have recorded impressive numbers in the first half of 2024.
Analysis by Legit.ng showed that the total profit after tax (PAT) of the 11 banks listed on the Nigerian Exchange increased by 68.21% year-on-year, from N1.67 trillion in H1 2023 to N2.82 trillion in H1 2024.
Source: Facebook
Fitch Ratings explained that the strong performance of Nigerian banks is due to the sharp devaluation of the official exchange rate, which has led to significant FX revaluation gains.
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It also noted foreign assets held by the banks have been inflated in naira terms.
11 most profitable banks in Nigeria 2024
Here is a breakdown of the 11 most profitable banks after the first half of 2024. The figures listed are profit after tax payments to the federal government.
1. GTCO (Guaranty Trust Holding Company)
Profit 2024 H1: N905.57 billion
Profit 2023 H1: N280.48 billion
GTCO leads the banking sector with a massive 223% increase in profits, solidifying its top position with N905.57 billion in 2024, the highest among the banks surveyed
2. Zenith Bank
Profit 2024 H1: N577.99 billion
Profit 2023 H1: N291.73 billion
Zenith Bank reported a strong 98.1% increase in profits, reaching N577.99 billion. Despite the significant growth, it remains in second place behind GTCO.
3. Ecobank
Profit 2024 H1: N443.51 billion
Profit 2023 H1: N150.31 billion
Ecobank profit surged to N443.51 billion in the first half of 2024. This represents a remarkable increase of approximately 195.5% when compared to N150.31 billion reported in the first half of 2023.
4. UBA (United Bank for Africa)
Profit 2024 H1: N316.36 billion
Profit 2023 H1: N378.23 billion
UBA also experienced a 16.3% decrease in profits, falling to N316.36 billion but still holding the fourth position. The decline marks a shift after its exceptional 2023 performance.
5. Access Holdings
Profit 2023 H1: N135.44 billion
Profit 2024 H1: N281.33 billion
Access Holdings saw a 107.7% increase in profits, rising to N281.33 billion. It is the 5th most profitable bank in Nigeria.
6. FBNH (First Bank of Nigeria Holdings)
Profit 2023 H1: N187.18 billion
Profit 2024 H1: N365.30 billion
FBNH delivered a 95% increase in profits, growing to N365.30 billion, driven by solid forex business gains. It ranks as the sixth most profitable bank in the first half of 2024.
7. Stanbic IBTC
Profit 2023 H1: N67.92 billion
Profit 2024 H1: N116.36 billion
Stanbic IBTC posted a 71.3% profit growth, reaching N116.36 billion. It remains in sixth place, continuing its steady and reliable performance.
8. Fidelity Bank
Profit 2023 H1: N158.57 billion
Profit 2024 H1: N159.83 billion
Fidelity Bank showed modest growth with a 0.8% profit increase, reaching N159.83 billion.
9. FCMB (First City Monument Bank)
Profit 2023 H1: N8.70 billion
Profit 2024 H1: N59.48 billion
FCMB saw an impressive 583.9% increase in profits, surging to N59.48 billion. Despite this massive growth, the bank remains in the ninth position.
10. Wema Bank
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Profit 2023 H1: N10.49 billion
Profit 2024 H1: N26.60 billion
Wema Bank recorded a 153.5% increase in profits, reaching N26.60 billion. It continues to hold the 10th spot.
11. Sterling Bank
Profit 2023 H1: N10.68 billion
Profit 2024 H1: N16.26 billion
Sterling Bank posted a 52.3% profit growth, reaching N16.26 billion, an improvement from N10.68 billion in 2023.
Five largest commercial banks in Nigeria by assets in 2024
Legit.ng earlier reported that the combined total asset value of Nigeria's tier-one largest banks increased to N116.80 trillion as of the end of the first quarter of 2024.
This figure represents a 23.81% or N22.46 trillion increase compared to N94.33 trillion as of December 2023.
A bank asset refers to any resource that a bank owns or controls that has economic value and is expected to provide future financial benefit.
Proofreading by Nkem Ikeke, journalist and copy editor at Legit.ng.
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Source: Legit.ng
