GTCO Announces Record-Breaking Profit in 2024, CEO Speaks on Performance, Future Plans

• GTCO Plc has posted a record-breaking pre-tax profit of over N1 trillion for its 2024 financial year
• This figure represents the highest profit in banking history and highlights the remarkable earnings recorded by banks
• The CEO of GTCO Plc, Segun Agbaje, has shared insights into the company's 2024 results and expectations ahead

Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.

Guaranty Trust Holding Company Plc (GTCO), the parent company of GTbank, has reported a profit before tax (PBT) of N1.266 trillion for the year ended December 31, 2024.

This is a massive 107.8% increase when compared to N609.3 billion in 2023, according to its audited consolidated and separate financial statements submitted to the Nigerian Exchange Group (NGX) and London Stock Exchange (LSE).

The robust earnings reflect the Group’s diversified revenue base, disciplined capital management, and strong risk management framework, GTCO said in a statement on Thursday.

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Breakdown of GTBank's financial performance

The financial services group recorded growth across all key financial metrics, achieving the highest profit in Nigeria’s banking history.

Net loans increased by 12.3% to N2.79 trillion from N2.48 trillion in 2023, while deposit liabilities surged 37.8% to N10.40 trillion from N7.55 trillion.

Total assets rose to N14.8 trillion, with shareholders’ funds closing at N2.7 trillion.

The group’s Capital Adequacy Ratio (CAR) remained strong at 39.3%, while asset quality was sustained, as IFRS 9 Stage 3 loans stood at 3.5% at the bank level and 5.2% at the Group level, compared to 2.5% and 4.2%, respectively, in 2023.

Also, GTCO announced a total dividend of N8.03 per share for the full year 2024, in line with its tradition of increasing dividend payouts annually, Punch reports.

GTCO continues to post strong financial ratios within the Nigerian financial services sector, reporting a pre-tax return on equity (ROAE) of 60.5%, a pre-tax return on assets (ROAA) of 10.3%, a CAR of 39.3%, and a cost-to-income ratio of 24.1%.

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CEO speaks on performance

Reacting to the result, Segun Agbaje, group chief executive officer of GTCO Plc, said:

“Our strong performance for 2024 underscores the resilience and depth of our business, driven by a well-diversified earnings base across our banking and non-banking subsidiaries, all of which are profit and loss (P&L) positive.

“We have also prudently provided for all our forbearance loans, well ahead of the June 2025 timeline, while fully accruing for the windfall tax, further strengthening our balance sheet.”

"Looking ahead, the Group remains committed to leveraging technology and operational efficiency to drive growth across its business segments, including banking, funds management, pension, and payments."

Zenith Bank's financial performance in 2024

In a related development, Legit.ng reported that Zenith Bank also declared impressive revenue in 2024, significantly boosting the net worth of its shareholders, including founder Jim Ovia.

All key metrics of Zenith Bank improved, cementing the financial institution's place as one of the best.

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Zenith Bank declares massive profit, Jim Ovia to become over N20bn richer

Adaora Umeoji, Group Managing Director/CEO, promised to create value for customers and stakeholders.

Proofreading by Kola Muhammed, copy editor at Legit.ng.

Source: Legit.ng