REG - Guaranty Trust Hldng - Annual Financial Report

Banco Bilbao Vizcaya Argentaria SAAnnouncement

17/04/2023 08:15

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20230417:nRSQ3376Wa&default-theme=true

RNS Number : 3376W  Guaranty Trust Holding Company PLC  14 April 2023

Guaranty Trust Holding Company Plc

 

RELEASES AUDITED FULL-YEAR CONSOLIDATED AND SEPARATE FINANCIAL STATEMENTS AS
AT DECEMBER 31, 2022; DECLARES PBT OF N214.2BILLION AND FY DIVIDEND OF N3.10

 

Lagos Nigeria - April 14, 2023 - Guaranty Trust Holding Company Plc ("GTCO"),
(Bloomberg: GUARANTY:NL/Reuters: GUARANT.LG), provider of diversified
financial services, announces its Audited Financial Results for the year ended
31 December 2022 and declares a PBT of N214.2bn.

 

Commenting on the results, the Group Chief Executive Officer of Guaranty Trust
Holding Company Plc (GTCO Plc), Mr. Segun Agbaje, said; "Our ability to
successfully navigate the peculiar challenges in the different markets where
we operate underscores our strong business fundamentals and unwavering
commitment to sound business strategies. Despite the varying challenges and
headwinds that weighed on growth in 2022, we were determined to deliver a
decent performance and scale effectively to strengthen our competitive edge
and drive long-term growth."

 

He further stated; "As an organisation, 2022 was quite significant for us
being the first year after our corporate restructuring into a financial
holding company in August 2021. Today, across our Banking, Payment, Funds
Management and Pension businesses, we have successfully built a robust
ecosystem with immense potential to deepen our addressable market and create
more value for all our stakeholders. We will continue to prioritize
innovation, service excellence, and execute seamlessly towards achieving our
vision of leading financial services in Africa."

 

Financial Highlights

 

·      Earnings

-  Profit before tax of N214.2bn (31 December 2021 N221.5bn) a dip of 3.3%.

-  Profit after tax decreased by 3.2% to N169.2bn from N174.8bn as of 31
December 2021.

-  Earnings per share of 595kobo compared to 614kobo per share as of 31
December 2021.

-  Final dividend up 10kobo over that corresponding period to 280kobo per
share.

 

·      Revenue

-  Interest income of N325.4bn (31 December 2021: N266.9bn) significantly up
by 21.9%, largely driven by increase in average volumes of earnings assets
resulting in 26.7% increase in interest earned on fixed income securities and
15.2% increase in interest income on loans and advances and further
complemented by improved interest earned on Placements.

 

-  Non-interest income of N213.8bn comprising of fee and commission income,
net trading gains, and other income (31 December 2021: N180.9bn) up 18.2%. The
Non-interest income growth resulted largely from 35.9% increase in realized
net trading gains, 22.2% increase in fees and commission and 7.5% increase in
other income.

 

-  Net interest margin of 6.68% (31 December 2021: 6.74%) due to slight
pick-up in COF on the back of global interest rate hike.

 

·      Balance Sheet

-  Total assets of N6.446trn (31 December 2021: N5.436trn) up 18.6%

-  Net loans and advances of N1.886trn (31 December 2021: N1.803trn) up 4.6%.

-  Deposit liabilities of N4.485trn (31 December 2021: N4.130trn) up 11.8%.

 

·      Credit Quality

-  IFRS 9 Stage 3 loans to Gross loans at 5.2% (31 December 2021: 6.0%).

-  Coverage for lifetime credit impaired loans at 205.2% (31 December 2021:
150.4%)

-  Cost of Risk at 0.6% (31 December 2021: 0.5%).

 

·      Continued focus on efficiency

-  Cost to income (CIR) closed at 48.0%, from 42.3% for the year ended 31
December 2021 reflecting impact of rising prices.

 

 

 

·      Subsidiaries

 

-  Contribution to Group PBT from West Africa decreased from 21.0% in
December 2021 to 12.3% in December 2022 as significant impairment was
recognised on sovereign securities. During the same period, the contributions
from East Africa increased and Nigeria Banking Subsidiary to 3.4% from 3.0%,
and 84.3% from 79.5% respectively. The Group also benefitted from 0.9%
contribution from the Non-Banking Subsidiaries which was adequate to
compensate for negative 0.8% contribution from United Kingdom in FY-2022.

 

December 2022 Financial Analysis and Ratios

 

 

 Key Financials (N' billion)    FY-2022  FY-2021  ∆%
 Interest income                325.4    266.9    21.9%
 Non-interest income            213.8    180.9    18.2%
 Operating income               448.0    384.5    16.5%
 Operating expenses             197.9    162.3    22.0%
 Profit before tax              214.2    221.5    -3.3%
 Profit after tax               169.2    174.8    -3.2%
 Earnings per share (in naira)  6.0      6.1      -3.1%

                                FY-2022  FY-2021  ∆%
 Total assets                   6,446.5  5,436.0  18.6%
 Net loans                      1,885.9  1,802.7  4.6%
 Deposit liabilities            4,610.3  4,130.3  11.6%

 

 

 Key Ratios                          FY-2022  FY-2021
 ROAE (post-tax)                     18.6%    20.6%
 ROAA (post-tax)                     2.8%     3.4%
 ROAE (pre-tax)                      23.6%    26.1%
 ROAA (pre-tax)                      3.6%     4.3%
 Net interest margin                 6.7%     6.7%
 Cost-to-income ratio                48.0%    42.3%

                                     FY-2022  FY-2021
 Net loans to deposits               40.9%    43.6%
 Liquidity ratio                     49.9%    38.3%
 Capital adequacy ratio              24.1%    23.8%
 NPL/Total loans (based on IFRS)     5.2%     6.0%
 Cost of risk                        0.6%     0.5%
 Coverage (with reg. risk reserves)  205.2%   150.4%

 

 

14 April 2023

 

Enquiries:

 

 Guaranty Trust

 Oyinade Adegite, Head, Group Communication   +234-1-2715227

 Charles Eremi, Group Communication

 ir@gtcoplc.com (mailto:ir@gtcoplc.com)

 

Notes to the Editors:

 

Guaranty Trust Holding Company Plc is a diversified financial services company
with N6.446trillion in assets, providing commercial banking services and
non-banking financial services across eleven countries.

 

The Group operates as one of the leading Nigerian financial services companies
offering a wide range of commercial banking as well as non-banking financial
services in Nigeria, West Africa, East Africa, and the United Kingdom. The
Group is rated B- by S&P, a reflection of the Group's stability and
reputation of being a well-established franchise with strong asset quality and
consistent excellent financial performance.

 

The Group has the following Banking subsidiaries (including sub-subsidiaries)
and non-banking subsidiaries within and outside of Nigeria -

 

1)   Guaranty Trust Bank (Nigeria) Limited     ("GTB Nigeria"),

2)   Guaranty Trust Bank (Gambia) Limited    ("GTB Gambia"),

3)   Guaranty Trust Bank (Sierra Leone) Limited ("GTB Sierra Leone"),

4)   Guaranty Trust Bank (Ghana) Limited      ("GTB Ghana"),

5)   Guaranty Trust Bank (Liberia) Limited     ("GTB Liberia"),

6)   Guaranty Trust Bank (United Kingdom) Limited ("GTB UK")

7)   Guaranty Trust Bank (Cote D'Ivoire)        ("GTB Cote
D'Ivoire"),

8)   Guaranty Trust Bank (Kenya) Limited      ("GTB Kenya"),

9)   Guaranty Trust Bank (Rwanda) Plc Limited ("GTB Rwanda"),

10) Guaranty Trust Bank (Uganda) Limited    ("GTB Uganda")

11) Guaranty Trust Bank (Tanzania) Limited ("GTB Tanzania")

12) Habari Pay (Nigeria) Limited

13) Guaranty Trust Fund Managers Limited

14) Guaranty Trust Pension Managers Limited

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  FR FFFLLSDISLIV