One of the leading financial service providers in Africa, Guaranty Trust Holding Company (GTCO) Plc, maintained a solid performance in the first quarter of 2025, with the key performance indicators on the upward trajectory.
In the unaudited consolidated and separate financial statements for the period ended March 31, 2025, to the Nigerian Exchange (NGX) Limited and the London Stock Exchange (LSE), the company reported a profit before tax of N300.4 billion, driven by a 41.1 per cent surge in interest income and a 41.2 per cent increase in fee income, which enabled GTCO to douse the impact of the N331.6 billion fair value gains recognised in Q1-2024, which did not recur in this period.
Further, the organisation improved its net loan book by 15.6 per cent year-to-date to N3.22 trillion from N2.79 trillion in December 2024, as deposit liabilities grew by 7.7 per cent during the same period to N11.20 trillion from N10.40 trillion.
In addition, 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 N15.9 trillion and N3.0 trillion, respectively, with Full Impact Capital Adequacy Ratio (CAR) remaining very robust and strong at 34.6 per cent.
Also, asset quality improved as evidenced by IFRS 9 Stage 3 Loans which closed at 3.3 per cent at bank level and 4.5 per cent at group in Q1-2025 as Cost of Risk (COR) closed at 0.4 per cent from 4.9 per cent in December 2024.
A look at the key financial ratios showed that the Pre-Tax Return on Equity (ROAE) stood at 42.2 per cent, Pre-Tax Return on Assets (ROAA) was at 7.8 per cent, Full Impact Capital Adequacy Ratio (CAR) at 34.6 per cent and Cost to Income ratio at 29.0 per cent.
“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 N331.6 billion 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.
“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,” the chief executive of GTCO, Mr Segun Agbaje, said.