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GTBank declares N52b dividend on N121b profit

GTBank declares N52b dividend on N121b profit

Nigeria’s most capitalised quoted bank, Guaranty Trust Bank (GTBank) Plc, recorded a pre-tax profit of N121 billion in 2015, sustaining a positive growth trajectory in spite of the tough macroeconomic and banking environment.

The board of directors of the bank said it has recommended distribution of N44.74 billion to shareholders as final cash dividend. This brings the total dividend for the 2015 business year to N52.1 billion. The bank had earlier paid interim dividend of N7.36 billion.

With this, shareholders would receive a final dividend per share of N1.52, in addition to interim dividend of 25 kobo, bringing total dividend per share for the 2015 business year to N1.77.

In a year that has seen many banks indicating that their profit might drop, GTBank recorded growths in gross earnings and profitability while its balance sheet also emerged resilient.

Read also: Diamond Bank forewarns investors of declining profit

The audited report and accounts for the year ended December 31, 2015 showed that gross earnings rose by 8.4 per cent to N301.9 billion in 2015 as against N278.5 billion in 2014. Group profit before tax also rose by 3.7 per cent from N116.4 billion in 2014 to N120.7billion in 2015. Profit after tax increased from N94.43 billion in 2014 to N99.44 billion.

Balance sheet analysis showed a generally resilient performance as total assets grew by 7.2 per cent from N2.36 trillion in 2014 to N2.52 trillion in 2015. Loans to customers grew by 7.5 per cent to N1.37 trillion from N1.28 trillion in 2014. Despite the implementation of the Treasury Single Account (TSA) by the Federal Government, customer deposits remained relatively stable with a marginal year-on-year decline of 0.49 per cent from N1.62 trillion in 2014 to N1.61 trillion in 2015.

The bank’s proportion of non-performing loans (NPL) stood at 3.21 per cent; up slightly from 3.15 per cent in 2014. Return on equity stood at 31 per cent while cost to income ratio stood at 44.4 per cent evidencing the efficient management of the banks’ assets.

 

 

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We are an online newspaper, very passionate about Nigerian politics, business and their leaders. We dig deeper, without borders and without fears.
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