GTCO’s Half Year Profit Falls By N1.8bn As Tax Liability Bites

Guaranty Trust Holding Company’s profit has dropped by N1.85bn to N77.5bn compared to its half year earning for last year.

The tier-one bank had recorded N79.4bn profit in the half year of 2021 ending June.

The lender said in its financial statement posted on the Nigerian Exchange Ltd that revenue rose to N239.28bn, up from the N207.9bn recorded in the same period of 2021.

But income tax expenditure of N25.6bn subdued the lender’s profit. In the 2021 half year, GTCO spent N13.64bn on tax expenses.

Asides the drop in profit, earnings per share plunged N2.70 down from N2.79 recorded last June.

The lender, however, increased its loan and advances to customers to N1.83trn, from N1.8bn by half year 2021.

Further details revealed that individuals received N269.9bn loan while non individuals got N1.56trn in the 2022 half year.

The company’s loan constitutes 35 per cent of its total exposure to risk, while debt securities make up 27 per cent of total exposure, the financial records revealed.

“The Directors are confident in their ability to continue to control exposure to credit risk within a specified risk appetite which can result from both its Loans and Advances portfolio and Debt securities,” GTCO said.