Banking Sector

High Operating Expenses Weigh on Profit of GTCO in Q1 2022

Guaranty Trust Holding Company (GTCO) Plc reported a 5.13% decline in profit for the first quarter (Q1) of 2022. The bank’s profit for the period stood at N43.208 billion, down from N45.546 billion recorded in Q1 2021.

The lender stated in its unaudited financial statement obtained by Investors King.

GTCO generated N57.205 billion net interest income, an increase of 9.1% from N52.434 billion posted in the corresponding period of Q1 2021.

Net interest income after loan impairment charges rose by 10.7% from N50.574 billion filed in Q1 2022 to N55.996 billion in the period under review.

Fee and commission income rose to N21.332 billion from N17.574 billion achieved in Q1 2021 to bolster net fee and commission income by 28.4% to N18.756 billion.

The bank’s other operating expenses jumped to N29.307 billion, a 33.2% increase from N22 billion recorded in Q1 2021.

Profit before tax inched slightly higher by 1.1% to N54.285 billion. The bank paid N11.077 billion as income tax for the period to a profit after tax of N43.208 billion.

Mr. Segun Agbaje, Chief Executive Officer, GTCO Plc, has this to say about the bank’s performance “Our first quarter results show a decent improvement across key revenue lines as well as other financial metrics, which demonstrates our ability to effectively navigate the evolving business landscape anchored on our strong business fundamentals.

“With this performance, we are optimistic about the rest of 2022 as we rapidly consolidate the gains of our new holding company structure to deliver superior stakeholder value.

“Importantly, our non-banking businesses including pension management, wealth management and payments will serve to diversify our earnings capacity as we look to create a model financial services ecosystem for all of Africa.

“As a Group, we are fully committed to providing innovative financial solutions whilst constantly delivering best-in-class customer experiences in line with our long-term strategy.”

Samed Olukoya

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

View Comments

Share
Published by
Samed Olukoya

Recent Posts

N1.3bn Fraud Allegation: Court Orders Arrest of Dana Air MD For Not Showing Up For Arraignment

A Federal High Court in Abuja has ordered the arrest of the Managing Director of…

5 hours ago

Nigerians To Enjoy 85% Discount On Groceries, Phones, Home Appliances, Others As Konga Begins Yakata Black Friday Sale

Consumers in Nigeria now have opportunity to get 85 percent discount on products of their…

5 hours ago

Nigeria Partners with ECOWAS and Morocco to Launch $26B African Gas Pipeline

The Nigerian government, in partnership with the Economic Community of West African States (ECOWAS), Morocco,…

5 hours ago

Naira Falls to N1,676.90/$1 at Official Market, Slides to N1,708.87/$1 at Alternative Window

The Naira depreciated at the Nigerian Autonomous Foreign Exchange Market (NAFEM) by 0.61 percent and…

7 hours ago

President Tinubu Orders Release of Minors Prosecuted for #BadGovernance Protests

Following a recent viral video on the X app regarding the prosecution of minors who…

10 hours ago

Nigerian Army Seizes 700,000 Liters of Stolen Petroleum in Sweeping Raid Across Four States

In a series of raids across Rivers, Bayelsa, Akwa Ibom, and Delta states, troops from…

10 hours ago