GTBank earnings surges by N100bn in Q3 2016

Guaranty Trust Bank Plc has announced N99.91 billion increase in its interim financial statements for the period ended 30 September 2016.

According to the results of the bank released to the Nigerian Stock Exchange in Lagos today, the earnings for the third quarter 2016 rose by 43.56 per cent from N229.37 billion to N329.28 billion.

The lender profit before tax rose from N92.062 billion to N140.837 billion, translated to an increase of N48.775 billion or 52.98 per cent.

Its profit after tax increased by N44.767 billion or 59.56 per cent when compare with N75.160 billion recorded in third quarter of 2015 to end 2016 third quarter by N119.927 billion.

The Tier I bank retained 36.42 per cent of its gross earnings as profit after tax at the end of current quarter which is better than 32.77 per cent retained during the same period of 2015.

Guaranty Trust Bank earnings per share rose from N2.65 kobo to N4.24 kobo, represented 60 per cent increase.

The total assets of the ban in nine months stood at N3.093 trillion from N2.525 trillion it made at the end of 2015 financial year. Its total liabilities also rose from N2.111 trillion in 2015 December to N2.601 trillion at the end of nine months 2016.

However, the bank loans and advances to customers in the nine months of 2016 rose by N268 billion, from N1.372 trillion as at December 31 2015 to N1.640 trillion at the end of nine months 2016. It reduces its loans and advances to other banks from N1.051 trillion as at December 2015 to N42.374 billion during the nine months 2015.

The bank received N2.043 trillion as deposits from customer in nine months from N1.610 trillion at the end of 2015 year end. It also received N62.302 billion from other banks as deposits in nine months 2016 from N26.257 billion at the end of December 2015.

The bank’s loan book grew by 19.6 per cent from N1.372 trillion recorded in December 2015 to N1.640 trillion in September 2016.

The bank’s non-performing loans remained low at 4.13 per cent. On the backdrop of this result, Return on Equity (ROE) and Return on Assets (ROA) stood at 35.31 per cent and 5.69 per cent respectively.

Commenting on the Bank’s financial results, the Managing Director/CEO Segun Agbaje, said that “The Bank’s strong performance is a reflection of the continued support of our customers, hard work of our Staff and the commitment of the management and board to manage the bank for long term sustainable returns. Recognizing that we operate in challenging business environments, we set high goals, benchmark ourselves against global standards and aggressively pursue our key objectives for the year, which are focused mainly on adding value to all stakeholders and improving the customer journey.

He further stated that “As a bank, we will continue to leverage collaborations and technology to drive customer engagement, improve the overall customer experience and grow our business for long term sustainable returns.”

Guaranty Trust Bank has continued to report the best financial ratios for a Financial Institution in the industry with a return on equity (ROE) of 35.31 per cent and a cost to income ratio of 36.20 per cent 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 Best Banking Group from World Finance Magazine, Most Innovative African Bank from African Banker Magazine, Best Bank in Nigeria and Best Digital Bank in Africa from Euromoney Magazine.