Guaranty Trust Holding Company (GTCO) H2 2024 earnings summary

Executive summary

• Achieved record FY 2024 profit before tax of ₦1.27 trillion, up 107.8% year-over-year, marking the first Nigerian financial institution to cross the ₦1 trillion profit mark, with strong performance across banking and non-banking subsidiaries.

• EPS rose 85.8% year-over-year to ₦35.4, with ROE at 48.6% and ROA at 8.3%, both the highest in five years.

• Delivered strong growth across all business verticals, including banking, fund management, pension, and payments.

• Share price increased 40.7% year-over-year, reflecting robust investor confidence.

• Declared a total dividend of ₦8.03k for 2024, continuing a tradition of increasing payouts.

Financial highlights

• Interest income surged 144% year-over-year to ₦1.341 trillion, with net interest income up 142.4%.

• Non-funded income increased by 27% year-over-year to ₦806.5 billion, driven by fees, commissions, and trading income.

• Total assets rose 52.7% to ₦14.8 trillion; deposit liabilities increased 37.8% to ₦10.401 trillion.

• Net loans and advances grew 12.3% to ₦2.786 trillion.

• Cost-to-income ratio improved to 24.1% from 29.1% year-over-year.

Outlook and guidance

• Focus remains on innovation, operational efficiency, and sustainable profitability across all business verticals, with plans to leverage technology and deepen customer relationships.

• Expectation to maintain asset yield at 11.7% in 2025, despite moderating interest rates.

• Loan book growth anticipated to improve, with continued focus on optimizing all earning assets.

• FY 2025 guidance withheld due to ongoing regulatory discussions regarding a potential transaction.

• Confident in delivering results similar to or better than 2024, leveraging increased capital and operational efficiency.