Guaranty Trust Bank Plc have reported a half year profit before tax of 91.39 billion naira versus 63.11 billion naira reported in half year of 2015. This figures represents a 44.8 per cent increase in profit for the tier one Nigerian bank.
The profit before tax which stood at N 91.38billion, represented a growth of 45 per cent over ¦ 63.11billion recorded in the corresponding period of June 2015.The bank’s loan book grew by 14 per cent from N1.373trillion recorded as at December 2015 to N 1.562trillion in June 2016 with corresponding growth in total deposits which increased by 23 per cent to N2.008trillion from N 1.637 trillion in December 2015.
Further analysis revealed that the bank closed the half year with total assets and contingents of N3.42trillion and shareholders’ funds of N 453Billion. The Bank’s non-performing loans remained low and within regulatory threshold at 4.39 per cent , with adequate coverage of 170.1 per cent .
Increase in collective impairment was borne out of the prudent stance of the bank, while capital remains strong with Capital Adequacy Ratio , CAR of 18.25 per cent . On the backdrop of this result, Return on Equity (ROAE) and Return on Assets (ROAA) closed at 35.8 per cent and 5.7 per cent respectively. The Bank is proposing interim dividend of 25kobo per unit of ordinary share held by shareholders.
Commenting on the financial results, Segun Agbaje, the Managing Director/CEO of Guaranty Trust Bank plc, said that “Going into the year, we knew it would be a challenging year and we prepared for it by focusing on effective management of the balance sheet and adapting our business model to changing market variables. The quality of our past decisions enabled us navigate the challenges that persisted in the business environment most of the half year period.”
Whilst expressing his sincere appreciation to customers for their loyalty, and to staff for their hard work and commitment, Segun Agbaje added that “While the current economic realities present some challenges to growth, we remain committed to our ideals of staying positive, delivering exceptional service to our customers and adding value to all stakeholders”.
Overall, with this solid financial result, the bank continues to enshrine its position as a clear leader in the Banking industry in Nigeria, with strong showing in Africa. This position is validated by numerous awards and accolades received by GTBank during the course of the year in recognition of its leading role in Africa’s banking industry, bias for world class corporate governance standards and excellent service delivery and innovation.
