The Nation Newspaper

Tag: GTB

  • GTB records N52.6b profit in 3 months

    Nigeria’s most capitalised financial institution, Guaranty Trust Bank (GTB) Plc recorded modest growths in key performance indicators in the first quarter of this year with pre-tax profit for the three-month period rising to N52.62 billion.

    Key extracts of the interim report and accounts of GTB for the first quarter ended March 31, 2018 released yesterday at the Nigerian Stock Exchange (NSE) showed that gross earnings rose to N108.97 billion in first quarter 2018 as against N104.13 billion recorded in first quarter 2017. Profit before tax also improved from N50.39 billion in first quarter 2017 to N52.62 billion in first quarter 2018. After taxes, net profit rose from N41.48 billion in first quarter 2017 to N44.67 billion in first quarter 2018. Earnings per share thus increased from N1.47 to N1.58.

    The report showed that the balance sheet of the bank-the second most capitalised quoted company in Nigeria, after Dangote Cement, expanded further to N3.507 trillion by March 2018 as against N3.351 trillion recorded at the beginning of this year.

    Market analysts have commended the performance of the bank noting that it indicates that the bank could surpass projections.

    “GTB’s first quarter 2018 results are tracking slightly ahead of consensus 2018 estimated profit before tax forecast of N203 billion. Consequently, we expect to see modest upward revisions to consensus 2018 estimated profit before tax forecasts and a positive reaction from the market,” FBN Quest, the investment banking arm of FBN Holdings Plc, stated.

    GTB’s share price rose by 0.57 per cent or 25 kobo to close at N44.35 per share yesterday at the NSE, playing the contrarian stock against the market’s average overall decline of 0.04 per cent.

    GTB had recorded a pre-tax profit of N200 billion in 2017, prompting the bank to distribute N79.5 billion as cash dividend to shareholders. Shareholders received a final dividend of N2.40 per share, in addition to interim dividend of 30 kobo per share, bringing total dividend per share for 2017 N2.70 per share.

    Latest audited report and accounts of GTB for the year ended December 31, 2017 showed that profit before tax rose by 21 per cent from N165.1 billion in 2016 to N200.2 billion in 2017. Profit after tax also increased from N132.28 billion in 2016 to N170.47 billion in 2017. Earnings per share improved to N6.03 in 2017 compared with N4.67 in 2016. Gross earnings had increased marginally from N414.6 billion in 2016 to N419.2 billion.

    The balance sheet showed that the bank’s loan book dipped by 8.9 per cent from N1.59 trillion in 2016 to N1.449 trillion in 2017 while customer deposits increased by 3.8 per cent to N2.062 trillion in 2017 as against N1.986 trillion in 2016. Total assets and contingents grew by 3.9 per cent to N3.845 trillion in 2017 while shareholders’ funds increased to N625.2 billion.

    Managing Director, Guaranty Trust Bank (GTB) Plc, Mr. Segun Agbaje, said the immediate past year was a pivotal year for the bank as it was able to deliver a strong result in a challenging environment.

    According to him, the bank achieved record growth in earnings, carefully managed cost margins and leveraged its digital-first customer-centric strategy to deliver world-class services that are simple, cheap and easily accessible.

    “The result demonstrates the fundamental strength of our franchise as well as the progress we are making in transforming our organization into a platform on which our customers could build their businesses, connect with their consumers and access all the resources that they need to make their lives better,” Agbaje said.

     

     

  • GTB posts N200b profit, to pay N79.5b dividend

    Nigeria’s most capitalised financial institution and leading tier one commercial bank- Guaranty Trust Bank (GTB) Plc recorded a pre-tax profit of N200 billion in 2017, prompting the board of the bank to recommend distribution of N79.5 billion as cash dividend to shareholders.

    Key extracts of the audited report and accounts of GTB for the year ended December 31, 2017 released yesterday at the Nigerian Stock Exchange (NSE) showed that profit before tax rose by 21 per cent from N165.1 billion in 2016 to N200.2 billion in 2017. Profit after tax also increased from N132.28 billion in 2016 to N170.47 billion in 2017. Earnings per share improved to N6.03 in 2017 compared with N4.67 in 2016. Gross earnings had increased marginally from N414.6 billion in 2016 to N419.2 billion.

    The balance sheet showed that the bank’s loan book dipped by 8.9 per cent from N1.59 trillion in 2016 to N1.449 trillion in 2017 while customer deposits increased by 3.8 per cent to N2.062 trillion in 2017 as against N1.986 trillion in 2016. Total assets and contingents grew by 3.9 per cent to N3.845 trillion in 2017 while shareholders’ funds increased to N625.2 billion.

    The board of directors of the bank has recommended payment of a final dividend of N2.40 per share to shareholders, in addition to interim dividend of 30 kobo per share, bringing total dividend per share for 2017 N2.70 per share.

    Managing Director, Guaranty Trust Bank Plc, Mr. Segun Agbaje, said the immediate past year was a pivotal year for the bank as it was able to deliver a strong result in a challenging environment.

    According to him, the bank achieved record growth in earnings, carefully managed cost margins and leveraged its digital-first customer-centric strategy to deliver world-class services that are simple, cheap and easily accessible.

    “The result demonstrates the fundamental strength of our franchise as well as the progress we are making in transforming our organization into a platform on which our customers could build their businesses, connect with their consumers and access all the resources that they need to make their lives better,” Agbaje said.

  • Photo: Guinness world record Read Aloud Marathon

    Photo: Guinness world record Read Aloud Marathon

    Mr Olubayode Treasures Olawunmi During his Read Aloud Marathon Attempt of 120 hours to Break Guiness World Records is on his 3rd Days without Stopping Reading aloud with only 2 hours break a day the event sponsored by GT Bank and Lagos State Goverment in Commemoration of World Book Day held at GT You Read Library Centre Yaba Lagos.

  • Innoson, GTB Feud: The Untold Stories

    Innoson, GTB Feud: The Untold Stories

    Recently, the Innoson/GTBank story has gained so much media prominence, especially following the arrest of the Innonson chairman a few days ago by EFCC(Released).  Though the case is pending in court, Innoson has taken the battle to social media. There have been numerous sponsored social media campaigns against the Bank such as #BewareOfGTBank and #WhatIsWrongWithGTBank.

    The company has also gone Television, with its owner, Dr Innocent Chukwuma granting an interview to TVC, where he claimed he had obtained a judgement of N8bn against the bank. He added that the bank pleaded with him over their inability to pay, and that he graciously offered to accept shares of the bank as payment.

    GTBank on their part has chosen to remain silent on the matter, perhaps trusting in the integrity of the legal system as against playing to the gallery. A staff of the bank who spoke under anonymity, stated “Irrespective of the issues we are facing with the company, Innoson remains a customer of the bank and we owe him a duty of confidentiality and to conduct ourselves in a responsible manner towards him”.

    This statement didn’t stop us from conducting our own investigations on the matter, and below are our findings, put in bullet points for your optimum understanding.

    The obvious:

    Innoson is, and still remains, a customer of GTBank.

    What we discovered:

    1. GTBank (in 2009) granted Innoson several credit facilities (i.e loans) totalling N2,400,000,000,00 (two billion, four hundred million Naira only), to part finance working capital requirements, import new motorcycles and motorcycle spare parts, agricultural spare parts and plastic manufacturing equipment (“Imported Goods”).
    2. Under the loan terms agreed by Dr. Innocent Chukwuma on behalf of Innoson, proprietary interest in the Imported Goods was consigned exclusively in favour of the Bank. This means that the Bank was the exclusive owner of the Imported Goods.  Accordingly, the original shipping documents (i.e. the Bills of Lading) were in the custody of the Bank, and have remained in the custody of the Bank at all times.
    3. Because GTBank was the exclusive owner of the imported goods, ownership of the goods could only be transferred to Innoson (or any other third party) by the Bank. The condition in the agreement between the Bank and Innoson, for the release of the Imported Goods by the Bank to Innoson, was the payment of 25% of the value of each Letter of Credit transaction by Innoson.

    What we learnt:

    1. Innocent Chukwuma approached the Bank, on behalf of Innoson, requesting the release of the shipping documents without payment of the agreed+ 25% equity. The Bank declined his request as a result of Innoson’s failure to meet the agreed conditions.
    2. It came to the Bank’s knowledge sometime in June, 2011 that the Imported Goods for which the Bank declined to release shipping documents to Innoson in view of its failure to meet the agreed conditions, had been fraudulently procured by Innoson.
    3. The Bank discovered that Innoson, under the control of Dr. Innocent Chukwuma had forged the Bank’s endorsement on the bills of lading to the Shipping Line and fraudulently cleared the Imported Goods which were in the name of the Bank. The Imported Goods, being property of the Bank should not have been cleared from the Port without the original shipping documents being endorsed by the Bank in favour of Innoson, or any third party.
    4. The signatures of 4 (four) staff of the Bank, to wit, Taofeek Olalere, Dan Attah,   Bunmi Adeyemi and Amazu Amalachukwu, as well as the Bank’s stamp were forged on all the shipping documents used by Innoson to fraudulently clear goods at the port.  The Bank did not at any time endorse or transfer the shipping documents to Innoson, as the originals of each of the relevant Bill of Lading remain in the Bank’s custody to this very day.
    5. When the Bank reported the matter to the Nigeria Police, Dr. Innocent Chukwuma claimed the Bank released the shipping documents to him. Consequently, the Police commenced investigation into the Bank’s complaint, including a forensic examination of the disputed signatures, and established that the signatures of the Bank’s staff were forged, and the Imported Goods were fraudulently cleared from the Nigerian Ports Authority by Dr. Innocent Chukwuma and his accomplices.

    What we heard from the Police:

    1. Police investigations confirmed that Innoson and Dr. Innocent Chukwuma deliberately set out to defraud, steal from the Bank and convert the Imported Goods belonging to the Bank by deceptive means and through forgery and misrepresentation. The unlawful takeover of the Imported Goods, which served as the Bank’s collateral, left an indebtedness in excess of the sum of N1,654,481,895.04 (one billion, six hundred and fifty four million, four hundred and eighty one thousand, eight hundred and ninety five Naira, four Kobo) as at September 26, 2012.
    2. Chief Innocent Chukwuma was arrested and interrogated by operatives of the EFCC, following which he agreed to make monthly payments into Innoson’s account until the full liquidation of Innoson’s indebtedness to the Bank.  However, Innoson defaulted in making the agreed payments.  Investigations by the Nigeria Police following a petition by the Bank in September 2013 also found Innoson and Chief Innocent Chukwuma culpable of the criminal allegations levied against them by the Bank, and Chief Innocent Chukwuma was accordingly charged to court by the Police.

     

    1. The Police filed Charge No. FHC/L/565C/2015-Inspector General Of Police And Innoson Nigeria Limited; Innocent Chukwuma;Charles Chukwuma;Maximian Chukwura; Mitsui Osk Lines; Annajekwu Sunny for fraudulent clearance of goods, forgery, conversion, stealing and conspiracy presently pending before Faji J, at the Federal High Court, Ikoyi and adjourned to November 21, 2017 for arraignment/or hearing of motion for issuance of Bench Warrant.

    What Innoson did:

    1. Innoson approached the Bank for a reconciliation of his account and pleaded for a debt forgiveness. A reconciliation was carried out on the account – which had a debit balance of N1,654,481,895.04 as at December 31, 2011. In the spirit of amicable resolution and EFCC intervention, the Bank said it agreed to forego the sum of N559,374,072.09 which represented default charges that has accrued on the account and debited in line with the loan agreement between the customer and the Bank.

     

    1. Based on this, the Bank decided to accept from the customer, the sum of N1,095,107,822.95 as full and final payment of the customer’s indebtedness to the Bank, provided that same shall be fully paid not later than (30) days from the date of the letter written to him

     

    1. Surprisingly, Innoson commenced suit no:FHC/AWK/CS/2012 against the Bank at the Federal High Court, Awka stating the bank had debited its account with excess charges totalling N559,374,072.09 and obtained judgement in excess of N4.7Billion against the Bank. Again choosing to dishonour an agreement that was amicable reached between him and the Bank for a full and final settlement of N1,095,107,822.95 wherein the Bank graciously forgave him the sum of N559,374,072.09 which accrued on his account during the period which he abandoned his account.

     

    1. To further stall the criminal proceedings against him, Chief Innocent Chukwuma and his company instituted suits at the Federal High Court, Abuja, as well as the Federal High Court, Awka in January 2014 against The Inspector General of Police, The Nigeria Police Force and Investigating Officer(s), seeking declaratory and injunctive reliefs, including orders restraining the Police from commencing criminal proceedings against Innoson and Chief Innocent Chukwuma. Furthermore, in a bid to stall the Bank’s recovery steps, and distract the Bank from focusing on the criminal action, as well as civil actions filed for recovery of the debt, Chief Innocent Chukwuma and his company Innoson, have continued to institute various spurious suits before various courts, claiming frivolous and outrageous sums against the Bank.

     

    What GTBank is not saying:

    1. In responding to Innoson’s motion for a stay of criminal proceedings at the Court of Appeal, the Honourable Justice J.S Ikyegh on September 17,2017 dismissed the motion for being unmeritorious and ordered that proceeding in the criminal case against Innson should proceed.

     

    1. On October 12, 2017, the Police through its Charge No. FHC/L/565C/2015- filed an application for the issuance of bench warrant against Innocent Chukwuma; Charles Chukwuma and Annajekwu Sunny for fraudulent clearance of goods, forgery, conversion, stealing and conspiracy presently pending before Faji J, at the Federal High Court, Ikoyi and adjourned to Decemeber 8, 2017 for arraignment/or hearing of motion.

     

    What we think:

    Innoson and GTBank should resolve the issues privately.

  • Innoson boss arrives Enugu amidst jubilation

    Innoson boss arrives Enugu amidst jubilation

    Jubilant crowd Thursday stormed the Akanu Ibiam International Airport Enugu to receive the Chairman of INNOSON Vehicle Manufacturing Company, Dr. Innocent Chukwuma, who was arrested Tuesday by the Economic and Financial Crimes Commission (EFCC) on allegations of jumping bail.

    He was later released by the same commission after being flown to Lagos.

    As early as 10am, traditional dances as well as masquerades gathered at the airport waiting the arrival of the industrialist said to be the biggest employer of labour East of the Niger.

    His aircraft touched ground at about 2.05 pm. As soon as the crowd sighted him, they went into wild jubilation.

    A long convoy of cars joined in escorting Chukwuma‎ to his Enugu residence, with chants of solidarity songs.

    Some of them carried solidarity placards with different inscription such as ‘EFCC stop Embarrassing Igbo Nation”, “Our Senate is Working”, “Innoson can’t be intimidated”, ‎among others.

    Narrating his ordeal in the hands of the EFCC to newsmen on his arrival at the Akanu Ibiam International Airport, Chukwuma said EFCC operatives jumped into his house and took him away to Lagos in short-knicker and singlet.

    He, expressed surprise that the EFCC, which arrested him, could not tell him the offence he committed, disclosing that he refused to go after he was released until the commission tells him the offence he committed.

    Chukwuma told newsmen that after the GTB wrote a false petition against him, the EFCC jumped into his house and whisked him away, regretting that up till now the EFCC refused to tell him the offence he committed.

    His word: “I thank everybody who fought for this matter because I was surprised that in the early morning they jumped into my house, I thought it was kidnappers or armed robbers but finally I noticed it was EFCC. Around 7:30 in the morning they said they want to arrest me and I joined them to their office and up till now they have not told me my offence.

    “When I got there, they said I should go but they didn’t tell me what I did. They arrested me like a criminal took me to their office and after to the airport on shorts and singlet to Lagos.

    “EFCC under Ibrahim Magu has never invited me, nobody invited me, they just jumped into my house. If they invited me I would have gone to answer them because I am a genuine businessman, I am an industrialist I don’t have anything in my cupboard.

    “That’s why I asked them to tell me what I did but up till now they have not told me what I did. I said I will stay with them until they tell me what I did.

    “I don’t know for now if I will go to court against this unlawful arrest but what I know is that they have not told me up till now what I did.

    “I have never forged tax waiver document in my life, never in my life! I pay all my tax, I pay my duties, I am a genuine businessman, I am an industrialist.”

    ‎He further volunteered in a statement he personally signed that he intends to work faithfully with the EFCC on the alleged investigation so as to clear his name, which he said has been badly damaged, adding that he will follow up the so called investigation to its logical conclusion.

    He expressed his gratitude to fellow countrymen who stood by him in this period of “my illegal arrest by the EFCC”.

    “May I use this opportunity to express my gratitude to fellow countrymen who stood by me in this period of my illegal arrest by the EFCC.  Firstly, I want to thank Mr. President, His Excellency, President Muhammadu Buhari, GCFR for his believe in the rule of law.

    “I thank the various State Governors who condemned my illegal arrest and fought to see my release. To all the media organizations, various human rights groups, the youths, the Free Innoson Media crusaders and ‎everybody who gave a voice to condemn my illegal arrests, I thank you,” he stated

  • GTB, UBA, others mull interim dividends

    Four of Nigeria’s five largest banks have indicated they might pay interim cash dividends to shareholders as investors await the half-year corporate earnings of major quoted companies on the Nigerian Stock Exchange (NSE).

    The three largest Nigerian banks-Guaranty Trust Bank, Zenith Bank and United Bank for Africa and the fifth largest bank-Access Bank, in separate regulatory filings indicated that they had scheduled meetings of their directors during which the six-month financial statements would be approved.

    Directors of UBA are scheduled to meet tomorrow while directors of GTB, Zenith Bank and Access Bank are scheduled to meet next Wednesday. Deliberation on payment of interim dividend is one of the main agenda for the meetings.

    The four banks had paid similar interim dividends on the basis of their half-year results in 2016. GTB, Zenith Bank and Access Bank had paid interim dividend per share of 25 kobo each to shareholders for the first half of 2016. UBA distributed N7.26 billion to shareholders as interim dividends for first half 2016 on the basis of 20 kobo per share.

    First-quarter results of the banks had shown improved performance, a trend most analysts expected to continue in the second quarter. UBA had sustained a well-rounded performance in the first three months of 2017 as profit before tax grew by 41 per cent to N25.5 billion. Key extracts of the three-month earnings report for the period ended March 31, 2017 showed significant growths on key performance indices. Group gross earnings rose by 38 per cent to N101.25 billion in first quarter 2017 compared with N73.66 billion recorded in comparable period of 2016. The top-line was driven by an unprecedented 43 per cent growth in interest income. Profit before tax rose to N25.5 billion in first quarter 2017 compared with N18.1 billion in first quarter of 2016. Profit after tax increased by 32 per cent to N22.4 billion in first quarter of 2017 as against N17 billion recorded in the corresponding period of 2016.

    In deliberating on the interim dividend payment, directors of the banks are expected to particularly focus on the justifiability and sustainability of the earnings performance.

    The Nigerian Stock Exchange (NSE) had in last January started implementation of new rules that impose stiff sanctions on any company that makes spurious interim dividend payment without the fundamental basis to support such interim dividend distribution.

    The new rules that will take effect at the stock market on January 1, 2017 prohibit spurious interim dividend declaration and make such act punishable.

    According to the rules, any company that declares interim dividend during any financial year, and thereafter records accumulated losses at the end of that financial year shall, if it is discovered that the declaration of dividends was not justified by the availability of profit for distribution, be liable to pay a fine.

    Under the new rules, no company or any other issuer shall declare interim dividends or bonuses without first preparing and filing accounts, which shall form the basis of such declaration or action.

    Besides, no company shall declare final dividends without first preparing and filing audited accounts, which shall form the basis of such declaration or action.

     

  • GTB worker ‘steals’ N8.4m from customers’ accounts

    GTB worker ‘steals’ N8.4m from customers’ accounts

    A Guaranty Trust Bank (GTB) worker has been arraigned before an Igbosere Magistrates’ Court for allegedly stealing N8,449,000 from two customers’ accounts.

    Abidemi Wasiu, who works with GTB, Oshogbo branch in Osun State, was arraigned before Magistrate. O. O. Owunmi  on Wednesday.

    The Nation learnt that the defendant was arrested by officers from the Bar Beach Police Division, following a complaint from the bank’s headquarters on Victoria Island, Lagos.

    Prosecuting Sergeant Friday Mameh alleged that the defendant committed the offences between November and last month at the bank’s Lagos headquarters.

    Mameh said the defendant, without authority, unlawfully withdrew N4,000,000 from the account of Ogunmade Victoria and N4,449,000.00 from the account of Olalekan Abiola.

    Wasiu allegedly transferred the N8,449,000 to the accounts of his friends, Ojeleye Tawakalitu and Wisdom Marshal Njoku, from where he withdrew all the money and shared it with them.

    According to Mameh, the offences contravene Sections 411, 337(a) and 287(7) of the Criminal Laws of Lagos State of Nigeria, 2015.

    Wasiu pleaded not guilty.

    Magistrate Owunmi granted him N1million bail with two sureties in the like sum.

    Owunmi directed the sureties to deposit N200,000 each with the court’s registrar He adjourned till June 6.

  • GTB Posts N165b Profit Before Tax, says Agbaje

    GTB Posts N165b Profit Before Tax, says Agbaje

    •‘We’ve simplified banking processes’

    Guaranty Trust Bank has posted a Profit before tax  N165.14 billion, in its 2016 operating year, the Managing Director/CEO, Segun Agbaje, has said.

    Agbaje, who made this known yesterday at a press parley in Lagos, said the profit  represented a growth of 37 per cent over the N120.69 billion recorded in the corresponding period of December, 2015.

    He said the bank’s loan book grew by 16 per cent from N1.373 trillion recorded as at December 2015 to N1.59trillion in December 2016, with corresponding growth in total deposits, which he added, increased by 29 per cent to N2.111 trillion from N1.637 trillion in December 2015.

    The bank’s balance sheet, Agbaje stated, remained strong with a 19.7 per cent growth in total assets and contingents, as the bank closed the year ended December 2016 with Total Assets and Contingents of N3.70 trillion and shareholders’ funds of N504.9 billion.

    Agbaje yesterday said the lender gives priority to simpler and faster banking, which have helped it grow and retain its customers.

    He said the lender has in the last five years, tripled its customer base to 9.68 million as at December 31, 2016.

    “As part of our strategy to grow our retail business, we are continuously making our banking processes and touch points simple, easier, and faster irrespective of where our customers choose to bank,” he said.

    Agbaje said the bank has expanded the range of functionality it offers on internet, mobile and USSD banking platforms, ensuring better experience in its branches and providing more intelligent Automated Teller Machines (ATMs) to allow customers save time through efficient self-service.

    He said the bank has also seen tremendous growth in customer adoption of its digital services. “We are investing and building our digital capabilities, and also actively seeking to collaborate with FinTech companies.

    “Whether we compete or collaborate, we will be aggressively pursuing these digital opportunities, to strengthen our traditional businesses, and going beyond being a bank to becoming a platform that enriches the lives of all customers that it serve,” he said.

    GTB posted N165 billion Profit Before Tax (PBT) in its audited financial results for the year ended December 31, 2016.

    A review of the results showed positive performance across all financial indices, reaffirming the bank’s position as one of the most profitable and well managed financial institutions in Nigeria.

    Gross earnings for the period grew by 37 per cent to N414.62 billion from N301.85 billion reported in the December 2015 review period. The performance was driven primarily by growth in interest income as well as foreign exchange income, Agbaje said.

    He said the bank’s non-performing loans remained low and within regulatory threshold at 3.66 per cent, with adequate coverage of 131.79 per cent. Increase in collective impairment was borne out of the prudent stance of the Bank, while Capital remains strong with CAR of 19.79 per cent.

    On the backdrop of this result, Return on Equity (ROAE) and Return on Assets (ROAA) closed at 35.96 per cent and 5.85 per cent. The bank is proposing final dividend of 175 kobo per unit of ordinary share held by shareholders in addition to interim dividend of 25 kobo per unit of ordinary share,  thus bringing total dividend for 2016 financial year to N2 per unit of ordinary share.

    Agbaje, said: “The bank’s financial performance in 2016, does not only reflect the resilience of our franchise, it demonstrates the fundamental strength of our businesses to deliver sustainable long-term growth.

    “We successfully navigated the heightened economic uncertainty and regulatory headwinds which dominated the year to deliver a solid performance across all financial and non-financial indices”.

  • GTB Posts N165b Profit Before Tax, says Agbaje

    GTB Posts N165b Profit Before Tax, says Agbaje

    •‘We’ve simplified bank ing processes’

    Guaranty Trust Bank has posted a Profit before tax  N165.14 billion, in its 2016 operating year, the Managing Director/CEO, Segun Agbaje, has said.

    Agbaje, who made this known yesterday at a press parley in Lagos, said the profit  represented a growth of 37 per cent over the N120.69 billion recorded in the corresponding period of December, 2015.

    He said the bank’s loan book grew by 16 per cent from N1.373 trillion recorded as at December 2015 to N1.59trillion in December 2016, with corresponding growth in total deposits, which he added, increased by 29 per cent to N2.111 trillion from N1.637 trillion in December 2015.

    The bank’s balance sheet, Agbaje stated, remained strong with a 19.7 per cent growth in total assets and contingents, as the bank closed the year ended December 2016 with Total Assets and Contingents of N3.70 trillion and shareholders’ funds of N504.9 billion.The Managing Director/CEO, Guaranty Trust Bank Plc, Segun Agbaje yesterday said the lender gives priority to simpler and faster banking, which have helped it grow and retain its customers.

    Speaking at a briefing in Lagos, he said the lender has in the last five years, tripled its customer base to 9.68 million as at December 31, 2016.

    “As part of our strategy to grow our retail business, we are continuously making our banking processes and touch points simple, easier, and faster irrespective of where our customers choose to bank,” he said.

    Agbaje said the bank has expanded the range of functionality it offers on internet, mobile and USSD banking platforms, ensuring better experience in its branches and providing more intelligent Automated Teller Machines (ATMs) to allow customers save time through efficient self-service.

    He said the bank has also seen tremendous growth in customer adoption of its digital services. “We are investing and building our digital capabilities, and also actively seeking to collaborate with FinTech companies.

    “Whether we compete or collaborate, we will be aggressively pursuing these digital opportunities, to strengthen our traditional businesses, and going beyond being a bank to becoming a platform that enriches the lives of all customers that it serve,” he said.

    GTB posted N165 billion Profit Before Tax (PBT) in its audited financial results for the year ended December 31, 2016.

    A review of the results showed positive performance across all financial indices, reaffirming the bank’s position as one of the most profitable and well managed financial institutions in Nigeria.

    Gross earnings for the period grew by 37 per cent to N414.62 billion from N301.85 billion reported in the December 2015 review period. The performance was driven primarily by growth in interest income as well as foreign exchange income, Agbaje said.

     

    He said the bank’s non-performing loans remained low and within regulatory threshold at 3.66 per cent, with adequate coverage of 131.79 per cent. Increase in collective impairment was borne out of the prudent stance of the Bank, while Capital remains strong with CAR of 19.79 per cent.

    On the backdrop of this result, Return on Equity (ROAE) and Return on Assets (ROAA) closed at 35.96 per cent and 5.85 per cent. The bank is proposing final dividend of 175 kobo per unit of ordinary share held by shareholders in addition to interim dividend of 25 kobo per unit of ordinary share,  thus bringing total dividend for 2016 financial year to N2 per unit of ordinary share.

    Agbaje, said: “The bank’s financial performance in 2016, does not only reflect the resilience of our franchise, it demonstrates the fundamental strength of our businesses to deliver sustainable long-term growth.

  • ‘How my GTB shares were sold by unscrupulous stockbroker’

    In investor in the Nigerian stock market, Fr. Samuel Ikechukwu, has narrated how his shareholding in Guaranty Trust Bank (GTB) Plc was sold surreptitiously by an unscrupulous stockbroking firm without his knowledge and authorisation.

    Ikechukwu, who resides in Italy, said he bought the GTB shares eight years ago through Cashville Investment and Securities, but was surprised to learn that the shares had been sold by the company without his knowledge.

    He said he became suspicious when he was not receiving any dividend warrant nor bonuses like others, who invested in the shares, adding that upon further investigation, he realised that the shares had been sold without his knowledge.

    He thus lodged a complaint with Securities and Exchange Commission (SEC) in January 2015. After a thorough investigation by the Commission, the money was recovered and he was given N1.5 million early this month as restitution for the shares that were illegally sold.

    Ikechukwu said although he was happy with the efforts by the Commission, he stressed the need for more stringent sanctions on unscrupulous stockbroking firms to serve as deterrent to others.

    “I believe the company should be penalised further because the value of my money when I bought the shares and what it is today is not the same thing as the nation’s currency has greatly depreciated,” Ikechukwu said.

    He commended the SEC for its investor protection initiatives, noting that the way his complaint was investigated and resolved by the Commission was commendable.