N1.27tn dividends: GTCO, Zenith lead as six banks reward shareholders

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Six of Nigeria's major listed banks paid a combined N1.27 trillion in dividends for the 2025 financial year. Five other profitable lenders did not pay, as Central Bank of Nigeria (CBN) prudential requirements blocked payouts.

GTCO and Zenith Bank accounted for 81.9 per cent of the total dividend payout. GTCO declared N429.83 billion, or N12.76 per share, while Zenith Bank paid N410.70 billion, or N10 per share.

Who got paid

Guaranty Trust Holding Company (GTCO), Zenith Bank, Stanbic IBTC, Ecobank Transnational Incorporated, Wema Bank and FCMB met the regulatory conditions for dividend payments. Stanbic IBTC distributed N63.61 billion, or N4 per share. Ecobank paid $40 million, equivalent to $0.16 per share. FCMB declared N14.97 billion, or 35 kobo per share.

The five banks that did not pay declared profits but were limited by CBN capital retention requirements, rising non-performing loans and other prudential guidelines.

Profit drops, gross earnings rise

The 11 major banks recorded a combined profit before tax of N6.4 trillion in 2025, down 3.8 per cent from N6.7 trillion in 2024. This is based on audited financial statements for the year ended December 31, 2025.

Tier-1 banks posted N4.15 trillion in profit before tax, compared with N5.06 trillion a year earlier. Tier-2 lenders increased combined pretax profit to N2.26 trillion from N1.60 trillion.

Despite the profit decline, combined gross earnings rose significantly to N26.4 trillion from N23.2 trillion in 2024. Tier-1 banks grew gross earnings to N18.2 trillion from N16.9 trillion, while Tier-2 lenders increased theirs to N9.5 trillion from N7.6 trillion.

Top earners and the UBA exception

Access Holdings recorded the highest gross earnings among Tier-1 banks at N5.5 trillion, up from N4.9 trillion in 2024. Zenith Bank followed with N4.1 trillion, compared with N3.8 trillion previously. GTCO's gross revenue rose marginally to N2.15 trillion from N2.11 trillion. First HoldCo increased to N3.4 trillion from N3.2 trillion.

United Bank for Africa (UBA), however, recorded a slight decline in gross earnings, falling to N2.97 trillion from N3.1 trillion in 2024.

What this means

The payouts show that strong profitability alone does not guarantee dividends. Investors must track CBN prudential rules and asset quality, as lenders need adequate capital buffers before distributing earnings.

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