Guaranty Trust Holding Company Plc

UNAUDITED Q3 GROUP RESULTS FOR THE PERIOD ENDED SEPTEMBER 30, 2022: DECLARES A PBT OF N169.7BILLION

Lagos Nigeria - October 25, 2022 - Guaranty Trust Holding Company Plc ("GTCO"), (Bloomberg: GUARANTY:NL/Reuters: GUARANT.LG), provider of diversified financial services, announces its unaudited Financial Results for the period 30 September 2022 and declares a PBT of N169.7bn.

Commenting on the results, the Group Chief Executive Officer of Guaranty Trust Holding Company Plc (GTCO Plc), Mr. Segun Agbaje, said; "The Group's 3rd quarter result reaffirms our strategy for long-term growth and underscores our capacity to deliver sustainable strong performance despite the volatilities in our operating environment. We have also kept in focus our vision of supporting small and medium enterprises specifically through our free business platforms to help them stay in business and expand their offerings. With our non-banking businesses fully operational alongside our core banking subsidiary, we are well positioned to maximise our earnings potential going into the 4th quarter of the year."

He further stated; "In creating a thriving financial services ecosystem, our goal is to offer great experiences to all who interact with our brand whilst continually enhancing access to innovative financial solutions for individuals and businesses across Africa. We are appreciative of all our customers and other stakeholders who are with us on this journey of building a truly global African financial services institution."

Financial Highlights

·      Earnings

-  Profit before tax increased by 11.7% to N169.7bn in September 2022 from N151.9bn as of 30 September 2021.

-  Profit after tax of N130.3bn (30 September 2021: N129.4bn) an increase of 0.7%.

-  Earnings per share of 455kobo compared to 454kobo per share as of 30 September 2021.

·      Revenue

-  Interest income of N232.5bn (30 September 2021: N195.0bn) an increase of 19.2%, largely from 151.0% increase in interest income on placements, 26.1% increase in interest income on fixed income securities and 13.2% growth in interest income on loans and advances.

-  Non-interest income of N131.8bn comprising of fee and commission income, net trading gains, and other income grew by 6.8% from N123.5bn posted 30 September 2021.  The Non-interest income growth resulted principally from 18.3% increase in fees and commission income, 42.3% increase in net trading gains which was partly offset by 31.3% decrease in other income.

-  Net interest margin of 6.6% (30 September 2021: 6.9%).

·      Balance Sheet

-  Total assets of N5.809trn (31 December 2021: N5.436trn) up 6.9%

-  Net loans and advances of N1.843trn (31 December 2021: N1.803trn) up 2.2%.

-  Deposit liabilities of N4.393trn (31 December 2021: N4.130trn) up 6.4%.

·      Credit Quality

-  IFRS Stage 3 Non-performing loans to total Loans at 5.6% (31 December 2021: 6.0%).

-  Coverage for lifetime credit impaired loans at 159.2% (31 December 2021: 150.4%)

-  Cost of Risk at 0.2% (31 December 2021: 0.5%).

·      Continued focus on efficiency

-  Cost to income (CIR) closed at 45.1%, from 44.9% for the period ended 30 September 2021.

·      Subsidiaries

-  Contribution to Group PBT from West African Banking Subsidiaries increased from 22.5% in September 2021 to 27.5% in September 2022. During the same period, the contributions from East Africa Banking Subsidiaries increased to 3.8% from 3.0%, United Kingdom Banking Subsidiary improved from -0.9% loss contribution to 0.5%, this led to decline in the Nigeria Banking Operation from 75% in September 2021 to 68% in September 2022. The Non-Banking Subsidiaries contributed 0.8% to the Group PBT in September 2022.

September 2022 Financial Analysis and Ratios

25 October 2022

Enquiries:

Notes to the Editors:

Guaranty Trust Holding Company Plc is a diversified financial services company with N5.809trillion in assets and over 28 million customers, 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) HabariPay (Nigeria) Limited

13) Guaranty Trust Fund Managers (Nigeria) Limited

14) Guaranty Trust Pension Managers (Nigeria) Limited