Home Business GTBank grows pretax profit by 8.3% to ₦57bn in Q1 2019

GTBank grows pretax profit by 8.3% to ₦57bn in Q1 2019

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GTBank MD, Segun Agbaje,
GTBank MD, Segun Agbaje,

Guaranty Trust Bank grew Profit before tax by 8.3 per cent to ₦57 billion in the first three months of 2019, from ₦52.6billion recorded in the corresponding period last year, its unaudited Financial Results released  to the Nigerian and London Stock Exchanges has shown.

The gross earnings for the period increased by 1.2 per cent to ₦110.3 billion from ₦109 billion posted in March 2018.

Customers’ deposits also rose by 6.0% to ₦2.410trillion in March 2019 from ₦2.274trillion in December 2018, whilst the Bank’s Loan book grew by 1.6% from ₦1.262trillion as at December 2018 to ₦1.282trillion in March 2019.
Balance sheet remained strong with the Bank closing the quarter ended March 31, 2019 with Total Assets of ₦3.556 trillion and Shareholders’ Funds of ₦627.2 billion.

In terms of Assets quality, NPL ratio and Cost of Risk closed 7.03 per cent and 0.05 per cent in March 2019 from 7.30 per cent and 0.34 per cent in December 2018 respectively. In addition, coverage for NPL stood at 90.12 per cent while Full Impact Capital adequacy ratio remained very strong, closing at 22.25 per cent.

On the backdrop of this result, Post Tax Return on Equity (ROAE) and Return on Assets (ROAA) closed at 32.79 per cent and 5.76 per cent respectively.

These indices are pointer to GTBank’s strategic positioning in Nigeria and other Countries where the Group operates.
Commenting on the first quarter results, the Managing Director/CEO of Guaranty Trust Bank plc, Mr Segun Agbaje said, “Going into 2019, we knew that it would be a challenging year, but our strategy and unwavering focus on delivering value for our customers and shareholders continues to underpin our ability to consistently deliver solid results despite changing market variables. We carried on the momentum of the previous year, posting strong growth in earnings, effectively managing costs and leveraging our digital-first customer-centric strategy to deliver world-class services that are simple, cheap and easily accessible.”
He further stated that “Whilst ensuring the long-term growth of our business is the greatest value that we can create for our communities, we are also leveraging our resources, expertise and network to help people thrive. That’s why, from April 28 to May 1, 2019, we are organizing the biggest food and drink festival in Africa to give small businesses in the food industry the platform, network and access to the markets that they need to grow.”
GTBank has continued to be best in class in terms of Profitability, Efficiency and Capital among Peers and other Financial Institutions in Nigeria. This is evidenced by its Earnings per Share of ₦1.74, Return on Equity (ROAE) of 32.79 per cent, Cost to Income Ratio of 38.64 per cent and Capital Adequacy of 22.25 per cent.