Guaranty Trust Holdings Company (GTCO) Reports N214.2 Billion Profit Before Tax in 2022 Financial Year

Guaranty Trust Holdings Company (GTCO) has announced a profit before tax of N214.2 billion in its 2022 financial year, representing a 3.3% decrease from the N221.5 billion recorded in the previous year ended December 2021.

Despite the dip, the Group Chief Executive Officer of GTCO Plc, Mr. Segun Agbaje, commended the group’s ability to navigate the challenges in the different markets where it operates.

Mr. Agbaje attributed the company’s success to its strong business fundamentals and unwavering commitment to sound business strategies. He also highlighted the significance of 2022 being the first year after the company’s corporate restructuring into a financial holding company in August 2021.

Today, GTCO has successfully built a robust ecosystem across its banking, payment, funds management, and pension businesses, with immense potential to deepen its addressable market and create more value for stakeholders, he said.

The financial institution reported a net interest income of N30 billion for the year 2022, representing a growth of 17.54% from the N220.61 billion posted in 2021.

The Group’s loan book (net) also increased by 4.6% from N1.80 trillion as of December 2021 to N1.89 trillion in December 2022, while deposit liabilities grew by 11.6% from N4.13 trillion to N4.61 trillion during the same period.

Despite the challenges, the Group’s balance sheet remains resilient, with total assets and shareholders’ funds closing at N6.45 trillion and N931.1 billion, respectively. The Capital Adequacy Ratio (CAR) remained very strong, closing at 24.1%.

Similarly, asset quality was sustained as IFRS 9 Stage 3 Loans ratio (NPLs) improved to 5.2% in December 2022 from 6.0% in December 2021, though the Cost of Risk (COR) inched up marginally to 0.6% in FY-2022 from 0.5% in December 2021 due to the impact of worsened macros on PDs.

The Directors recommended the payment of a final dividend of N2.80k per ordinary share of 50 Kobo, bringing the total dividend for the financial year ended December 31, 2022, to N3.10k.

The Group had during the 2022 financial year, declared and paid an interim dividend of 30 Kobo per ordinary share on the share capital of 29,431,179,224 Ordinary Shares of 50 Kobo each, for the half-year period ended June 30, 2022.