Lower impairment charges, fee income push GTBank post-tax profit up 13% in Q3

GTBank MD, Segun Agbaje,

GTbank posted a 13 per cent rise in its profit-after-tax (PAT) on the back of lower impairment charges and double digit increase in fee and commission income, its just released third quarter 2018 financial statement has shown.

The bank’s PAT rose 13 per cent to N142.22 billion, buoyed by 19.47 per cent increase in fee and commission income to N40.35 billion, driven by 75.49 per cent rise in commission on foreign exchange deals and transfer related charges, which was up 64.85 per cent.

Significant -80 per cent cut it made in its impairment charges to N1.74 billion in Q3 2018 from N8.36 billion in the same period last year, was instrumental to the good showing GTBank put up, despite its interest income dipping -4.32 per cent to N237.55 billion, dragged down by revenue from loans and advances which dropped -7 per cent.

The bank other operating expenses increased 11.16 per cent to N58.94 billion, while personnel cost climbed 14.18 per cent to N28.12 billion.

Higher cash and bank balances, which rose 28.86 per cent, propelled the bank’s total assets up 2.45 per cent to N3.43 trillion, in spite of  decline in its loans and advances and financial assets held for trading.