Guaranty Trust Holding Company Plc has released its Audited Consolidated and Separate Financial Statements for the year ended December 31, 2023 to the Nigerian Exchange Group and London Stock Exchange.
The Group reported profit before tax of N609.3 billion, representing an increase of 184.5 percent over N214.2 billion recorded in the corresponding year ended December 2023.
The Group’s loan book (net) increased by 31.5 percent from N1.89 trillion recorded as at December 2022 to N2.48 trillion in December 2023, while deposit liabilities grew by 63.7 percent from N4.61 trillion in December 2022 to N7.55 trillion in December 2023.
The Group’s balance sheet remained well structured, diversified and resilient with total assets and shareholders’ funds closing at N9.7 trillion and N1.5 trillion respectively.
Full Impact Capital Adequacy Ratio 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 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, 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.
“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, that is Pre-Tax Return on Equity of 50.6 percent, Pre-Tax Return on Assets of 7.6 percent, Full Impact Capital Adequacy Ratio of 21.9 percent and Cost to Income ratio of 29.1 percent.
