Guaranty Trust Bank Plc made a profit after tax of N26.56bn in the first quarter of the year, the bank’s unaudited financial results for the period showed. The amount is 15 per cent higher than the N23.11bn it posted for the corresponding period in 2014.
The results for the three months ended March 31, 2105, filed with the Nigerian Stock Exchange and London Stock Exchange, showed that it achieved a profit before tax of N31.65bn, indicating a 17 per cent increase from the N28.01bn reported in Q1 2014.
GTB did not only record improved profits, it also grew its gross earnings by 17 per cent from N67.58bn to N79.02bn, a development it attributed to strong growth in interest income and effective management of operating expenses and cost risk.
The bank’s total assets and contingents as of March 31, 2015 stood at N3.15tn, customer deposits amounted to N1.69tn, while shareholders’ funds stood at N357.59bn.
GTB reported that its non-performing loans improved to 3.06 per cent in the review period from 3.40 per cent in the comparative period in 2014, while its loan book grew by 28 per cent to N1.30tn from N1.02tn in Q1 2014. The bank also reported a post-tax return on average equity of 29.03 per cent and return on average assets of 4.39 per cent, respectively.
A statement from the bank quoted its Managing Director and Chief Executive Officer, Mr. Segun Agbaje, as saying, “A major focus for the bank this year is to strengthen market positions with distinctive customer propositions in chosen segments in order to deliver long-term sustainable and efficient growth as well as strong shareholder returns.”
According to the statement, Guaranty Trust Bank plc has experienced tremendous growth since its inception in Nigeria in 1990 with business outlays spanning Anglophone and Francophone countries of West Africa, East African and the United Kingdom.
The bank had recently announced a profit before tax of N116.385bn for the financial year ended December 31, 2014.
The figure represented a nine per cent increase on the N107.091bn PBT it declared a year earlier.
The bank’s profit after tax for the full-year had risen by 10 per cent year-on-year – from N90.024bn in 2013 to N98.695bn in 2014.
GTBank had proposed a final dividend of N1.50 (interim was 25kobo). The payout ratio (for the full N1.75) of 55.2 per cent implies a dividend yield of 7.9 per cent.
The final dividend, analysts said, was higher than the N1.36 estimate by analysts at FBN Capital Research.
All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express written permission from PUNCH.
Source : Punch