GTB records N58.2bn profit before tax in Q1

Guaranty Trust Bank plc has .recorded a profit before tax of ₦58.2billion in the first quarter of the 2020 financial year.ended March 31, 2020, representing a growth of 2.1% over ₦57.0billion recorded in the corresponding period of March 2019.

The bank’s loan book grew by 8.0% from ₦1.502 trillion as at December 2019 to ₦1.622trillion in March 2020, while customers’ deposit increased by 9.3% to ₦2.768 trillion from ₦2.533 trillion in the same period. The  unaudited financial results were released to both  the Nigerian and London Stock Exchanges.

The bank maintained a well-structured and diversified balance sheet with total assets and shareholders’ funds closing at ₦4.057trillion and ₦661.1Billion respectively. Full Impact capital adequacy ratio (CAR) remained very strong, closing at 23.5%. In terms of assets quality, NPL ratio and Cost of Risk (COR) improved to 6.0% and 0.1% in March 2020 from 6.5% and 0.3%in December 2019 respectively. Loan Loss coverage also improved to 130.5%for Lifetime Credit Impaired Loans (NPLs) compared to 126.6% in December 2019.

Commenting on the financial results, Segun Agbaje, the managing director/CEO of Guaranty Trust Bank plc,  said; “These are very difficult and uncertain times, not just for the financial services sector and the economy as a whole, but also for hundreds of millions of people around the world whose lives and livelihoods have been put at risk by the COVID-19 pandemic. At GTBank, we know that the impact of this pandemic may sustain for months to come, but we remain positive that, by staying nimble and continuing to build on the strength of our businesses, we are appropriately positioned to cope with emerging economic realities, as reflected in our first quarter result.”

He further stated that, “As a platform for enriching lives, our focus is on safeguarding lives and livelihoods. That is why we are working round the clock to keep all our members of staff and customers safe, supporting the government in combatting the pandemic and being there for our customers in every way that they may need our support at this time.”

Over all, Guaranty Trust Bank plccontinues to be best-in-class in the Nigerian banking industryin terms of financial ratios i.e. Post-TaxReturn on Equity (ROAE) of 29.7%, Post-Tax Return on Assets (ROAA) of 5.1%, and Cost to Income ratio of 40.6%. These ratios reflect the Management stability andwell-structured Balance sheet coupled with operational efficiency.

In recognition of the Bank’s bias for world class corporate governance standards, excellent service delivery and innovation, GTBank has been a recipient of numerous awards over the years. Some of the awards include Best Bank in Africa and Best Bank in Nigeria, by the Euromoney Magazine (2019), Best Banking Group and Best Retail Bank Nigeria from World Finance Magazine (2019), Bank of the Year – Nigeria from the Banker Magazine (2018), Most Innovative Bank from the African Investor (2018), andBest Digital Banking Brand in Nigeria from the Global Brands Magazine (2018).