Jaiz bank reports 121% surge in profit to ₦24.44bn,

..announces ₦3.2bn dividend payout

Jaiz Bank Plc, Nigeria’s premier non-interest bank, has reported a 121% jump in profit before tax to ₦24.44 billion for the full year ended December 31, 2024—up from ₦11.05 billion in the previous year—driven by strong revenue growth, operational efficiency, and robust customer confidence.

The lender also announced a ₦3.2 billion dividend payout to shareholders, amounting to 7 kobo per share, following its 2024 Annual General Meeting (AGM) held Wednesday in Abuja.

“We crossed the one-trillion-naira mark in total assets, expanded our deposit base by 94%, and maintained sound capital and liquidity metrics. These results reflect the strength of our ethical banking model and the trust of our stakeholders,” Haruna Musa, Managing Director and CEO of Jaiz Bank, said in his AGM remarks.

Gross earnings surged 75% to ₦82.87 billion, up from ₦47.24 billion in 2023, fueled by improved yields on earning assets—from 13.02% to 14.43%—and a 72% spike in investment income. The bank’s total assets rose 86% to ₦1.08 trillion, marking a historic milestone as Jaiz became the first fully non-interest bank in Nigeria to cross that threshold.

Customer deposits climbed sharply to ₦904.79 billion, reflecting rising public confidence in the bank’s Sharia-compliant offerings. Net risk assets and investments also grew 88% to ₦671 billion, while the capital adequacy ratio strengthened to 23.87%, well above the regulatory minimum.

“We are building an institution not only rooted in Islamic finance principles but also capable of competing at the highest level of profitability and governance,” Musa, who outlined the bank’s 2025 priorities as growing the retail base, digital expansion, increasing geographic footprint, and refreshing its five-year strategic plan said.

“We remain committed to building a bank that sets the benchmark for non-interest banking in Africa,” he reiterated.

Chairman Mohammed Mustapha Bintube described 2024 as “a watershed moment” for Jaiz Bank, adding that the performance “redefined industry expectations for ethical banking institutions.”

Bintube attributed much of the growth to the bank’s restructuring in early 2024, which segmented the business into specialized divisions, allowing for greater operational focus, improved customer responsiveness, and more agile decision-making.

“Each division now operates with clearer focus and better-defined performance metrics. This has fostered specialization and improved our responsiveness to market dynamics,” he said.

Despite the strong earnings, operating expenses rose 80% to ₦39.31 billion, primarily due to a 55% increase in expense-bearing funds and broader inflationary pressures. Still, the bank’s cost-to-income ratio improved to 60.42% from 65.26%, signaling enhanced efficiency.

In a strategic move to reinforce its capital base, the bank completed a ₦10.05 billion private placement in 2024, pushing its shareholders’ funds to ₦28.7 billion—well above the Central Bank of Nigeria’s ₦20 billion revised minimum requirement for national banks.

“The additional capital provides us with greater capacity to finance large-ticket transactions and expand our operations while maintaining healthy capital adequacy ratios,” Bintube said.

He also noted that the bank’s ongoing rebranding initiative “represents more than just a visual refresh; it symbolizes our evolution into a modern, innovative financial institution while maintaining our core ethical values.”

Looking ahead, Jaiz Bank plans to invest in AI-powered digital platforms, expand offerings in SME, agriculture, and infrastructure financing, and deepen financial inclusion. The bank’s new brand identity, launched just on Tuesday, aims to reflect its transformation into a technology-driven institution grounded in Sharia-compliant principles.