Zenith Bank Plc saw its profit after tax drop 19.1% in the first half of 2026. Lower revenue and a sharp rise in tax expenses pulled earnings down, even though profit before tax managed a small increase.The bank’s audited results for the six months ended 30 June 2026 show profit after tax fell to ₦430.76 billion from ₦532 billion in the same period of 2025. Gross earnings dropped 24.6% to ₦1.90 trillion from ₦2.52 trillion. Profit before tax rose 1.9% to ₦637.60 billion from ₦625.63 billion. The difference between the two figures comes down to the much higher tax bill.
Gross earnings of ₦1.90 trillion were well below the ₦2.52 trillion recorded in the first half of 2025. The biggest reason was the turnaround in trading performance. Zenith posted trading losses of -₦92.24 billion in the first half of 2026, compared with trading gains of ₦467.79 billion a year earlier. That significant decline and loss in trading income explains a large part of the drop in overall earnings.
Tax expense jumped to ₦206.84 billion from ₦93.45 billion in the corresponding period of 2025, an increase of about 121%. Even though profit before tax improved slightly to ₦637.60 billion, the higher tax charge left less profit after tax.
Operating expenses increased 9.7% to ₦451.33 billion from ₦411.29 billion. Personnel expenses rose to ₦138.45 billion from ₦134.57 billion, while depreciation of property and equipment went up to ₦35.42 billion from ₦27.41 billion.
Despite the fall in profit after tax, the board proposed an interim dividend of ₦1.50 per share. That is up 20% from the ₦1.25 paid in the first half of 2025. The proposed dividend still needs to be ratified by shareholders at the next Annual General Meeting.
Zenith’s half-year results are mixed. Gross earnings declined mainly because of weaker trading results and lower income from some interest-earning assets. Lower impairment charges and better funding costs helped push profit before tax a little higher. The sharp rise in tax expenses then produced a clear drop in profit after tax and earnings per share.
Investors will be watching to see if revenue recovers in the second half of the year, how trading performance shapes up, and whether the bank can keep operating costs and its tax burden under control while maintaining the higher dividend.