GTB posts N52.6bn profit in Q1 2018

Guaranty Trust Bank (GTB) Plc, Nigeria’s most capitalised financial institution, recorded a profit before tax of N52.62 billion in the first quarter of this year, beating estimates by bookmakers.

Interim report and accounts of GTB for the three-month period ended March 31, 2018 indicated that gross earnings rose to N108.97 billion in first quarter 2018 as against N104.13 billion recorded in comparable period of 2017. Profit before tax increased from N50.39 billion in first quarter 2017 to N52.62 billion in first quarter 2018. Profit after tax improved from N41.48 billion in first quarter 2017 to N44.67 billion in first quarter 2018. Consequently, earnings per share rose from N1.47 to N1.58.

GTB’s total assets rose to N3.507 trillion by March 2018 as against N3.351 trillion posted at the beginning of this year.

Analysts at FBNQuest-the investment banking subsidiary of FBN Holdings, said GTB’s first quarter 2018 profit surpassed estimated consensus pre-tax profit for the period.

“Consequently, we expect to see modest upward revisions to consensus 2018 estimated profit before tax forecasts and a positive reaction from the market,” FBN Quest stated.

Addressing shareholders at the bank’s annual general meeting last week in Lagos, Chairman, Guaranty Trust Bank (GTB) Plc, Mrs Osaretin Demuren, had assured that the bank would continue to improve on its performance.

“On our part, we are optimistic about the future and will continue to position ourselves to take advantage of the immense opportunities in all the markets in which we operate in order to grow our earnings, improve profitability and deliver returns to our esteemed shareholders,” Demuren said.

Managing Director, Guaranty Trust Bank (GTB) Plc, Mr Segun Agbaje said the bank has the strategy and exceptionally talented people to consolidate its leading position as the most profitable and best-run financial institution in Africa.

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“We will also continue to lead the future of banking, not just because we will continue to pursue technological advancements and digital capabilities that keep us ahead of the curve, but because we will always stay true to the value of hard work, transparency, integrity and putting the customer at the centre of everything that we do,” Agbaje said.

Audited report and accounts of GTB for the year ended December 31, 2017 showed that profit before tax rose by 21 per cent from N165.1 billion in 2016 to N200.2 billion in 2017. Profit after tax also increased from N132.28 billion in 2016 to N170.47 billion in 2017. Earnings per share improved to N6.03 in 2017 compared with N4.67 in 2016. Gross earnings had increased marginally from N414.6 billion in 2016 to N419.2 billion.

The balance sheet showed that the bank’s loan book dipped by 8.9 per cent from N1.59 trillion in 2016 to N1.449 trillion in 2017 while customer deposits increased by 3.8 per cent to N2.062 trillion in 2017 as against N1.986 trillion in 2016. Total assets and contingents grew by 3.9 per cent to N3.845 trillion in 2017 while shareholders’ funds increased to N625.2 billion.

 

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