Guaranty Trust Bank (Ghana) Limited (GTBank) recorded another impressive performance for the first nine months of 2019. The bank published its financials recently showing strong growth across board.
The bank’s total revenue stood at GH¢349million, representing an increase of 51.80percent over the 2018 figure of GH¢230million. Profit before tax stood at GH¢242million, representing a growth of 62.37percent over the same period in 2018.
GTBank also recorded growth on all its income lines – net interest income grew by 52percent from GH¢119million in September 2018 to GH¢181million as at September 2019 resulting from significant improvements in the bank’s earning asset portfolio. The bank’s non-funded income rose by 52percent as at September 2019 to close the third quarter at GH¢169million from GH¢111million over the same period last year.
Operating expenses grew marginally by 2.85percent from GH¢96million to GH¢99million. This enabled the bank to significantly reduce its cost to income ratio from 39.2percent in September 2018 to 29percent.
The bank closed the third quarter of 2019 with total assets of GH¢3.5billion, representing 55percent growth compared to GH¢2.2billion at the end of December 2018. The growth in total assets was primarily funded by a 61percent growth in the bank’s customer deposits on the back of increased customer confidence in the bank’s operations. Earning assets of the bank stood at GH¢2.3billion at the end of September 2019; a 77percent increase over the 2018 figure of GH¢1.3billion.
The bank closed the quarter with an ROE of 29.93percent well above the risk free rate of 14.16percent. The situation was similar for Return on Assets (ROA) as the bank recorded an ROA of 9.08percent at the end of September 2019; one of the highest in the industry.
GTBank has remained strong when it comes to liquidity with a liquid ratio of 91.64percent, a clear indication of its strength in meeting customer demands. Capital Adequacy Ratio has also remained robust at 51.94percent at the end of September 2019. The bank’s Non-Performing Loans ratio stands at 5.13percent, one of the best in the industry.
Commenting on the bank’s performance, Chief Finance Officer of GTBank, Calleb Osei said: “GTBank’s performance during the first nine months of 2019 shows that we remain well capitalized, solvent, liquid and profitable. Our asset size has witnessed sustained growth, underpinned by increasing deposits and paid-up capital.
Profitability performance has also remained strong on the back of improved operational efficiency. Other key financial soundness indicators showed broad improvements in September 2019 compared with the same period in 2018.”
He explained that the bank has sustained its growth momentum over the years by innovating ahead of the curve with digital banking products and services that offer unparalleled value to its customers. “Driven by a strong culture that is built on discipline, excellent customer service, technology and innovation, we are committed to continue offering customers superior value for their confidence in us.”
GTBank Ghana is a subsidiary of Guaranty Trust Bank PLC, an international award-winning bank in Nigeria with presence in the United Kingdom, Ghana, Uganda, Kenya, Liberia, Sierra Leone, Gambia, Rwanda and Ivory Coast.
The bank was named Best Digital Bank of the Year by the International Center for Strategic Alliances (ICSA) and adjudged winner of Excellence in Innovation and Technology at the Ghana Business Awards. GTBank was also named Customer Experience Bank of the Year at the Ghana Finance Innovations Award 2019.