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2016 performance spurred us into first quarter success, Agbaje, GTB GMD

The Managing Director and chief executive officer of Guaranty Trust Bank plc, Mr. Segun Agbaje, has given more insights on why the bank performed well even in the face of hard times during the first quarter period.

Making remarks shortly after the release of the result, he said “Given the significant progress we made in 2016, we came into the year better equipped to navigate any further economic headwinds, and our performance in the first quarter demonstrates our ability to deliver sustainable long-term growth”.

“We remain committed to maximizing shareholders’ value and delivering superior and sustainable return, guided by our founding values of hard work, discipline and integrity.

He averred that “As we transform our organization into a platform for enriching lives, we are providing our customers with information and access they need to thrive. We are also leveraging our brand and networks to support small businesses through free business platforms and capacity building initiatives.

Analysts say GTBank has consistently played a leading role in Africa’s banking industry and reported the best financial ratios for a Financial Institution in the industry with a return on equity (ROE) of 31.55% and a cost to income ratio of 38.75%, evidencing the efficient management of the banks’ assets. Overall, the Bank has enshrined its position as a clear leader in the industry.

Business Hilights recalls that it was owing to its bias for world class corporate governance standards and excellent service delivery and innovation, GTBank was recognized in 2016 as the Best Bank in Nigeria by Euromoney, Most Innovative Bank in Africa by African Investor and Best Banking Group Nigeria by World Finance Magazine.

Details of the result for thQ1 showed that gross earnings for the period grew by 39% to ₦104.66billion from ₦75.39billion reported in March 2016; driven primarily by growth in interest income. Profit before tax stood at ₦50.39billion, representing a growth of 64% over ₦30.68billion recorded in the corresponding period of March 2016. The Bank’s loan to customers dipped marginally by 2% from ₦1.591trillion recorded in December 2016 to ₦1.563trillion as at March 2017. Deposit from customers grew marginally by 1% from ₦1.986trillion in December 2016 to ₦2.012trillion in March 2017.

The Bank’s balance sheet remained strong with a 1.6% growth in Total Assets as the Bank closed the quarter ended March 2017 with Total Assets of ₦3.16trillion and Shareholders’ Funds of ₦546.9Billion. The Bank’s non-performing loans remained low and within regulatory threshold at 3.62% (Bank: 3.27%) with adequate coverage of 231.6% (Bank: 266.6%).

Capital remains strong with CAR of 20.03%. On the backdrop of this result, Return on Equity (ROAE) and Return on Assets (ROAA) closed at 31.55% and 5.28% respectively.

Guaranty Trust Bank plc released its unaudited financial results for the quarter ended March 31, 2017 to the Nigerian and London Stock Exchanges recently.

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