GTBank Releases 2017 Half Year Audited Results
By Nsikan Ikpe
The Nigeria-originating financial services sector player, Guaranty Trust Bank Plc has disclosed a profit before tax of N101.1 billion in the first half of 2017, The Difference has learnt.
This is part of the details contained in its audited financial results for the half year ended June 30, 2017 which has just been released to the Nigerian and London Stock Exchanges.
A review of the half year performance, shows positive growth across all key financial metrics and improved strategic positioning of the brand. Gross earnings for the period grew by 2% to ₦214.1billion from ₦209.9billion reported in the June 2016; driven primarily by growth in investment securities income as well as income from risk assets. As for the Profit before tax posting, it represents a growth of 18% over the ₦85.69billion that it had similarly recorded in the corresponding period of June 2016.
These gains were achieved notwithstanding the fact that the Bank’s loan book dipped by 6% from the ₦1.590trillion recorded as at December 2016 to ₦1.491trillion in June 2017 even as customer deposits also decreased by 1% to the new figure of ₦1.966trillion, which is down from the ₦1.986trillion it had grossed in December 2016.
The Bank closed the half year ended June 2017 with Total Assets and Contingents of ₦3.75trillion and Shareholders’ Funds of ₦538Billion. On the backdrop of this result, Return on Equity (ROAE) and Return on Assets (ROAA) stood at 38.8% and 6.4% respectively. The Bank is therefore proposing an interim dividend of 30k per ordinary share of 50 kobo each for the period ended June 30, 2017.
Commenting on the financial results, Mr. Segun Agbaje, the Managing Director/CEO of Guaranty Trust Bank Plc, said: “Our strong performance in the first half of 2017 reflects the strength of our businesses, the quality of our past decisions and the success of our efforts towards becoming a digital-first customer-centric Bank that offers simple and easily accessible products and services.”
He further stated that “Despite the challenging environment of slow economic growth, we focused our resources on strengthening relationships with our customers, creating business platforms that seek to add value across all customer segments, whilst consolidating our leading position in all the economies in which we operate”.
Indeed, it is to be noted that the Bank has continued to report the best financial ratios for a Financial Institution in the industry with a return on equity (ROE) of 38.8% and a cost to income ratio of 40.2% evidencing the efficient management of the banks’ assets.
Overall, the Bank has enshrined its position as a clear leader in the industry. In due recognition of the Bank’s leading role in Africa’s banking industry, owing to its bias for world class corporate governance standards and excellent service delivery and innovation,
GTBank has been a recipient of numerous awards over the course of the year. They include Africa’s Best Bank for SMEs and Best Bank in Nigeria from Euromoney Magazine, African Bank of the Year from African Banker Magazine, Best Banking Group and Best Retail Bank from World Finance Magazine and Best Bank in Africa for Corporate Governance from Ethical Boardroom Magazine.
Mr. Segun Agbaje, CEO, GTBank