/ GTBank Releases 2019 Full Year Audited Results ... Reports Profit before Tax of ₦231.7 Billion

Lagos Nigeria – March 2, 2020

Guaranty Trust Bank Plc (“GTBank”), (Bloomberg: GUARANTY:NL/Reuters: GUARANT.LG), provider of diversified financial services, announces its Audited Financial Results for the year ended 31 December 2019 and declares a PBT of N231.7bn.

Commenting on the financial results, the Managing Director/CEO of Guaranty Trust Bank plc, Mr. Segun Agbaje, said; "At GTBank, we exist to provide excellent service to our customers and generate the returns that our shareholders expect. Our strong financial performance in 2019 demonstrates that we are delivering on both fronts. We achieved healthy growth across all our major businesses despite varying degrees of uncertainty and volatility, and we are making progress in positioning our business for long-term growth in the face of a rapidly changing competitive landscape.”

He further stated; “Underpinning our strong financial performance is our commitment to being there for our customers when it matters most. Powered by the fundamental strength of our brand, and guided by our strategy of putting our customers at the centre of everything we do, we will continue to design and deliver financial services that not only solves our customers’ real pain points but also leaves them better after every interaction.”

Financial Highlights

• Strong Earnings
  • Profit Before Tax of N231.7bn (31 December 2018: N215.6bn) an increase of 7.5%.
  • Profit After Tax improved by 6.6% to N196.8bn from N184.7bn of 31 December 2018.
  • Earnings per share of 696kobo compared to 654kobo per share of 31 December 2018.
  • Final dividend of 250kobo per share.
• Revenue
  • Interest Income of N296.2bn (31 December 2018: N307.0bn) down 3.5% as a result

    of 4.8% and 1.8% dip in interest income on loans and advances and investment securities respectively.

  • Non-Interest Income of N139.1bn (31 December 2018: N127.7bn) up 8.9%. The Non- interest income growth resulted largely from 19.2% increase in Fee and Commission Income, as well as 1.7% growth in Other Income comprising recoveries, discounts, rebate & mark to market gains on trading investments.
  •  Net Interest Margin remained strong at 9.3% (31 December 2018: 9.2%).
• Balance Sheet
  • Total assets of N3.759trn (31 December 2018: N3.287trn) up 14.3%
  • Net loans and advances of N1.502trn (31 December 2018: N1.262trn) up 19.0%.
  • Deposits from customers of N2.533trn (31 December 2018: N2.274trn) up 11.4%.
• Credit Quality - Non-performing Loans to total loans improved to 6.5% from 7.3% as at 31 December 2018.
  • Coverage for lifetime credit impaired loans at 126.6% (31 December 2018:

    105.1%)

  • Cost of Risk at 0.3% (31 Dec 2018: 0.3%).
• Continued focus on efficiency
  • Cost to Income of 36.1% (31 Dec 2018: 37.1%).
• Subsidiaries
  • Contribution to PBT from subsidiaries at 14.9% from 12.1% in December 2018.