Guaranty Trust Holding Company Plc (“GTCO” or the “Group”) has released its Audited Consolidated and Separate Financial Statements for the year ended December 31, 2023, to the Nigerian Exchange Group (NGX) and London Stock Exchange (LSE).
The Group reported profit before tax of N609.3billion, representing an increase of 184.5 percent over N214.2billion recorded in the corresponding year ended December 2023. The Group’s loan book (net) Increased by 31.5 percent from N1.89trillion recorded as at December 2022 to N2.48trillion in December 2023, while deposit liabilities grew by 63.7 percent from N4.61trillion in December 2022 to N7.55trillion in December 2023.
The Group’s balance sheet remained well structured, diversified, and resilient with total assets and shareholders’ funds closing at N9.7trillion and N1.5 trillion, respectively. Full Impact Capital Adequacy Ratio (CAR) remained very strong, closing at 21.9 percent, while asset quality was sustained as IFRS 9 Stage 3 Loans improved to 4.2 percent in December 2023 from 5.2 percent in December 2022. However, Cost of Risk (COR) closed at 4.5 percent from 0.6 percent in December 2022 owing to worsening macros which caused significant increase in ECL variables.
Commenting on the results, the Group Chief Executive Officer of Guaranty Trust Holding Company Plc, Mr. Segun Agbaje, said, “The challenging operating environment of 2023 truly tested the business model we put in place for the Holding Company, for both our banking and non-banking business verticals.”
“Harnessing the Group’s synergies yielded a strong performance, allowing us to strengthen our foothold in banking whilst also building viable and resilient businesses of HabariPay, Guaranty Trust Fund Managers, and Guaranty Trust Pension Managers.
“Also important to our success is our relentless obsession with innovation and offering great customer experiences as demonstrated by the successful redesign and upgrade of our mobile banking application, GTWorld.”
Mr. Agbaje added, “In a landscape characterised by evolving regulatory reforms, global uncertainties, and heightened competition, we have continued to leverage our inherent strengths and capabilities to unlock significant value, creating more opportunities for the businesses and individuals we serve.
“As we navigate the challenges and opportunities that lie ahead, we are confident that our robust underpinnings and focus on flawless execution will continue to drive sustainable growth across all our operations and deliver long-term value for our stakeholders.”
Overall, the Group continues to post one of the best metrics in the Nigerian Financial Services industry in terms of key financial ratios i.e., Pre-Tax Return on Equity (ROAE) of 50.6 percent, Pre-Tax Return on Assets (ROAA) of 7.6 percent, Full Impact Capital Adequacy Ratio (CAR) of 21.9 percent and Cost to Income ratio of 29.1 percent.
GTCO is a leading financial services group with banking operations in Nigeria, West Africa, East Africa, and the United Kingdom alongside non-banking verticals in HabariPay, Guaranty Trust Fund Managers, and Guaranty Trust Pension Managers. Its leadership in the banking industry and efforts at empowering people and communities has earned it many prestigious awards over the years.
Guaranty Trust Bank was recognised as Nigeria’s Best Bank and Best Bank in CSR at the 2023 Euromoney Awards for Excellence, Best Banking Group in Nigeria by World Finance, and Best Bank in Nigeria by Global Finance. GTCO’s Guaranty Trust Bank is featured in the Top 1000 Banks in the World and Top 100 Banks in Africa rankings by The Banker.