November 30, 2020

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GTB posts N167.4b pre-tax profit in nine months

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Our Reporter

 

 

NIGERIA’s most capitalised financial institution, Guaranty Trust Bank (GTB) Plc recorded a pre-tax profit of N167.35 billion in the third quarter as top-line earnings rose to N329.95 billion during the period.

Key extracts of the interim report and accounts for the nine-month period ended September 30, 2020 released at the Nigerian Stock Exchange (NSE) showed that gross earnings rose from N326.03 billion in third quarter 2019 to N329.95 billion in third quarter 2020.

Profit before tax stood at N167.35 billion in 2020 as against N170.65 billion in 2019. Profit after tax also stood at N142.28 billion in third quarter 2020 as against N146.99 billion in third quarter 2019. Earnings per share thus dropped marginally from N5.19 to N5.02. . Loan and deposit book grew by 4.5 per cent and 25.1 per cent from N1.502 trillion and N2.640 trillion recorded as at December 2019 to N1.569 trillion and N3.303 trillion in September 2020 respectively.

The results showed that the bank’s balance sheet remained resilient with total assets and shareholders’ funds closing at N4.574 trillion and N755.5 billion respectively. Full impact Capital Adequacy Ratio (CAR) remained strong, closing at 23.9 per cent, while asset quality was sustained as non-performing loan (NPL) ratio and Cost of Risk (COR) closed at 6.5 per cent and 0.6 per cent in September 2020 from 6.5 per cent and 0.3 per cent in December 2019 respectively.

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The bank said the third quarter results reaffirmed its capability to navigate the current economic challenges occasioned by impact of COVID-19 on world economies, noting that the results also reflected its position as one of the leading and best managed financial institutions in Africa.

Managing Director, Guaranty Trust Bank (GTB) Plc, Mr. Segun Agbaje, said the third quarter result was a reflection of how the bank has appropriately positioned its balance sheet to cope with current economic realities and the challenging business environment.

According to him, the result was also testament to the enduring loyalty of the bank’s customers, the hard work and dedication of its staff and the unwavering support it continues to enjoy from all its stakeholders in its drive to deliver best-in-class financial services and superior and sustainable returns.

“As an organization, we will continue to build on our commitment to enriching lives by leveraging our digital-first customer-centric strategy to improve customer experience and maintain a high standard in service delivery, and going beyond banking to create and drive innovative financial solutions that add value to our customers in all aspects of their lives,” Agbaje said.