GTCO posts N879.9bn profit before tax in nine months

By Mariam Abeeb

Guaranty Trust Holding Company Plc (GTCO) has recorded a profit before tax of N879.9bn for the nine months ended September 30, 2026, despite fair value losses and a decline in profit after tax.

The financial performance was disclosed in the group’s unaudited consolidated and separate financial statements released to the Nigerian Exchange Group and the London Stock Exchange.

The results showed that GTCO’s profit before tax declined by 2.3 per cent from N900.8bn recorded in the corresponding period of 2025.

The group attributed its performance to sustained growth in key income streams, including interest income, fees and commission income, and trading income, which rose by 5.0 per cent, 1.4 per cent and 3.1 per cent year-on-year, respectively.

However, the company recognised a fair value loss of N87.9bn during the period.

Despite the losses, GTCO’s total assets increased by 3.5 per cent to N18.37tn in September 2026, compared with N17.76tn in December 2025.

Its shareholders’ funds stood at N3.5tn, reflecting the group’s capital position.

The financial statements also showed that deposit liabilities grew by 8.6 per cent from N12.87tn in December 2025 to N13.98tn in September 2026.

The group said the increase reflected the continued strength of its deposit franchise.

However, its net loan book declined by 4.1 per cent to N3tn, a move attributed to its disciplined approach to risk asset creation.

GTCO’s capital adequacy ratio remained strong at 34.2 per cent, while its asset quality improved during the period.

The group’s International Financial Reporting Standard 9 Stage 3 loans ratio fell to 4.0 per cent from 5.0 per cent at the end of 2025. At the bank level, the ratio stood at 3.4 per cent.

The cost of risk also improved to 0.9 per cent from 2.2 per cent, indicating a reduction in the group’s exposure to credit-related risks.

Meanwhile, profit after tax fell to N614.6bn from N699.6bn recorded in the corresponding period of 2025.

The group attributed the decline partly to changes in Companies Income Tax regulations that affected capital allowance reliefs.

Commenting on the results, GTCO’s Group Chief Executive Officer, Segun Agbaje, said the performance demonstrated the strength of the company’s business model despite prevailing economic challenges.

“Our performance in the Q3 reflects the strength of a franchise built on scale, efficiency and discipline,” Agbaje said.

He added that the group’s core earnings continued to grow despite the challenging operating environment and significant fair value losses recorded during the period.

“Our deposit base expanded strongly, our cost efficiency remains among the best in the industry, and our balance sheet remains strong, liquid and well capitalised,” he said.

The results underscore the group’s continued expansion in deposits and total assets, even as lower post-tax earnings and fair value losses weighed on its overall profitability.