The board of Guaranty Trust Holding Company Plc, on Wednesday evening presented its audited result for the half-year ended June 30, 2024, with significant growth in top and bottom lines, following which the directors have offered a 100% growth in dividend for the period to N1.00 per share.

Highlights of the result presented to the Nigerian Exchange Limited shows a growth earnings income of N1.392tr, about double the size of previous N672.602bn; of which profit before tax stood at N1.003tr, an even more significant jump from just N327.397bn in the corresponding period of last year. Income tax expense for the period also spiked from N46.915bn to N98.208bn, leaving a profit after tax of N905.567bn, compared to the previous N280.482bn, representing Earnings Per Share of N32.12, compared to the previous N9.94 each.

Total revenue was majorly driven by the group’s corporate banking business, which yielded a total of N727.695bn, up from N453.219bn; followed by the N393.532bn from Retail Banking, rising from the previous N137.038bn; while commercial banking pooled N85.568bn, up from N36.493bn; ahead of the N44.88bn from public sector, from N10.887bn; just as revenue from SME Banking contributed N112.024bn, as against N25.634bn in 2023; and N28.671bn from business banking group, from the previous half-year’s N6.82bn.

Following the computation of interest expenses and fee and commission expenses, the corporate banking group recorded net operating income of N616.422bn, up from N416.924bn; ahead of retail banking with N376.167bn, as against N126.399bn; SME Banking posted net operating income of N108.302bn, up from N23.058bn; closely followed by the N82.12bn recorded by commercial banking, increasing from N33.464bn in the prior half year; ahead of the N42.361bn from the public sector banking, which in 2023 posted N8.74bn; and N27.771bn by business banking, compared to N6.152bn.

By geographical locations, Nigeria remains the group’s major hub, contributing a princely N1.097tr of total revenue, from the previous N582.401bn; followed by N224.103bn from the rest of West Africa, compared to N66.138bn; N39.366bn from East Africa, as against N13.129bn; and N31.37bn contributed by the European operation, up from N10.933bn.

Details of the result showed that interest income for the period jumped to N607.699bn from N214.451bn, of which income from customer loans and advances contributed N245.3bn, from N135.196bn. interest income on financial assets at fair value fell from N11.494bn to N10.187bn. Interest expense soared from N48.487bn to N126.376bn, boosted by payment on customer deposits of N102.055bn, from N43.547bn resulting in net interest income of N491.511bn, compared to the previous N177.458bn.

Loan impairment charges fell by almost half from N82.961bn to N47.395bn; following which net interest income after loan impairment charge stood at N444.116bn, up from N4.496bn.

Fee and commission income increased from N58.415bn to N113.919bn, after e-business income climbed to N32.503bn from N21.216bn, followed by commission on foreign exchange deals that soared to N16.36bn from N5.881bn, account maintenance charges contributed N15.639bn from N10.481bn, and credit related fees grew to N11.153bn from N4.782bn, among others. Fee and commission expenses rose from N6.866bn in the corresponding half year of 2023, to N12.85bn, after bank charges rose to N10.268bn from N5.584bn; and loan recovery expenses from N1.282bn to N2.581bn. This resulted in net fee and commission income of N101.069bn, up from N51.548bn.

Net trading gains on financial instruments held at fair value rose to N30.471bn from N16.017bn, lifted by the net foreign exchange trading gain of N25.213bn, up from N13.499bn.

Other income ballooned to N630.271bn from N372.223bn, the lion’s share of which was the N493.021bn earned from unrealised fair value gain on financial instrument, up from N253.644bn; as well as the unrealised gain on forward transactions amounting to N130.207bn from N16.034bn. Net impairment charge on other financial assets fell to N357.552m from N81.313bn. Personnel expense increased from N20.793bn to N41.5bn with wages and salaries accounting for N39.337bn from N19.894bn; depreciation and amortisation inched to N27.519bn from N19.36bn.

Other operating expenses increased from N85.421bn to N132.775bn, boosted by the N36.656bn payment to the Asset Management Corporation of Nigeria (AMCON), up from N27.433bn; followed by technological related expense amounting to N36.601bn from N17.016bn

Total assets for the period stood at N14.51tr, growing from N9.691tr at the end of December 2023, with customer loan and advances component rising from N2.48tr in the 2023 full year to N3.112tr in the half year ended June 30, 2024.

Total liabilities for the period also grew from N8.214tr in December 2023 to N12.111tr six months later, helped by a customer deposit base of N10.254tr, up from N7.41tr. Shareholders’ funds rose to N2.349tr from N1.447tr