GTCo profit slashes but net assets rise 8.45% to N883b
By Jeph Ajobaju, Chief Copy Editor
Guaranty Trust Holding Co (GTCo) – whose poster subsidiary is GTBank – made N175 billion profit in full year 2021 (FY 2021), a drop of 13.21 per cent year-on-year (YoY).
Its financial result posted to the Nigerian Stock Exchange (NSE) shows earnings per share of N6.14, a 13.64 per cent, a decline from N7.11 in FY 2020.
The Group has reported a steady decline in the performance of topline income since 2017, depreciating 30 per cent in four years.
Interest income dropped 12.77 per cent from N288.28 billion in FY 2020 to N251.47 billion in FY 2021, in an all margin decline as income from interest and trading income all depreciated YoY.
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Highlights
The financial result shows the numbers for FY 2021 as follows:
- Net interest income – N220.61 billion. Down 13 per cent on FY 2020
- Net interest after impairments – N212.08 billion. Down 9 per cent. Despite a 56 per cent drop in loan losses.
- Income from commission and fees – N65.65 billion. Up 40 per cent
- Trading income – N22.39 billion. Down 8.56 per cent
- E-business income – N21.08 billion. Up 79 per cent on N11.77 billion in FY 2020
- Customer deposits – N4.01 trillion. Up 14.30 per cent
- Total assets – N5.44 trillion.
- Net assets – N883 billion. Up 8.45per cent
GTCo Directors have recommended a final dividend per share of N2.70 per share, subject to withholding tax, according to reporting by Nairametrics.
The company had earlier paid an interim dividend of N0.30 kobo in May 2021, bringing the total for FY 2021 to N3.00 kobo, same as in 2020 but up 7 per cent on 2019.
Based on its current share price, the dividend yield of GTCo is about 11.5 per cent.
