GTCO sustains profitability momentum with N300.4bn PBT in Q1 2025
Guaranty Trust Holding Company Plc (GTCO) has released its unaudited consolidated and separate financial statements for the first quarter (Q1) period ended March 31, 2025.
The results released to the Nigerian Exchange Limited (NGX) and London Stock Exchange (LSE) show the Group reported profit before tax (PBT) of N300.4billion on the back of strong performance posted on the core earnings lines of interest income which grew year-on-year (y-o-y ) by 41.1 percent and fee income up by 41.2 percent.
The strong performance enabled the group to douse the impact of the N331.6billion fair value gains recognised in Q1-2024 which did not recur in Q1-2025.
The Group’s loan book (net) increased by 15.6 percent from N2.79trillion recorded as at December 2024 to N3.22trillion in March 2025, while deposit liabilities grew by 7.7 percent from N10.40trillion to N11.20trillion during the same period.
The Group recorded growths across all its asset lines and continues to maintain a robust, well-structured, highly de-risked, and well-diversified balance sheet in all the jurisdictions wherein it operates.
Total assets and shareholders’ funds closed at N15.9trillion and N3trillion, respectively. Full Impact Capital Adequacy Ratio (CAR) remained very robust and strong, closing at 34.6 percent, equally asset quality improved as evidenced by IFRS 9 Stage 3 Loans which closed at 3.3 percent at Bank Level and 4.5 percent at Group in Q1-2025 (Bank -3.5 percent (Group- 5.2 percent in December 2024) and Cost of Risk (COR) closed at 0.4 percent from 4.9 percent in December 2024.
Commenting on the results, Segun Agbaje, Group Chief Executive Officer of Guaranty Trust Holding Company Plc (GTCO), said; “Our Q1 2025 performance reflects the strength of all our business verticals and our capacity to generate strong and sustainable earnings. While the fair value gains of N331.6billion reported in Q1 2024 did not recur this quarter, the Group recorded solid growth across most income lines, underpinned by a diversified revenue base and a healthy, well-structured balance sheet.”
He further stated that, “We remain optimistic about the year ahead. The fundamentals of our business are strong, our customer base continues to grow, and we are executing with discipline across our strategic priorities. Importantly, at this pace, the Group is well-positioned to deliver the full year PBT of 2024 at the very minimum by the end of the 2025 FYE.”
Overall, the Group continues to post one of the best metrics in the Nigerian Financial Services industry in terms of key financial ratios – Pre-Tax Return on Equity (ROAE) of 42.2 percent, Pre-Tax Return on Assets (ROAA) of 7.8 percent, Full Impact Capital Adequacy Ratio (CAR) of 34.6 percent and Cost to Income ratio of 29 per cent.
