BREAKING: GTCO’s pre-tax achieve hits N603 billion, declares N1 interim dividend

Gross earnings increased by 3.25% to N1.11 trillion, supported generally by occupy revenue, which rose 7.51% to N873.39 billion from N812.36 billion.

Guaranty Trust Holding Organization Plc (GTCO) has released its H1 2026 results, reporting pre-tax obtain of N603.03 billion for the period ended June 2026, representing a marginal 0.35% broaden from N600.90 billion recorded in the corresponding period of 2025.

According to the unaudited financial statements, gross profits rose by 3.25% to N1.11 trillion from N1.07 trillion, during the time that salary per provide declined by 17.73% to N11.18 from N13.59.

The Board additionally proposed an interim dividend of N1.00 per standard provide on the issued investment, payable to the Shareholder on the register of shareholding at the closure date.

Key Highlights (H1 2026 vs. It reached N137.50 on September 23 in advance of easing to N137.00, where it remained through means of September 28.

What happens subsequent will depend on how investors perceive the H1 results, exactly the marginal 0.35% growth in pre-tax outcome, the 7.76% decline in revenue once tax, stronger attract earnings and decreased impairment charges, as well as the N1.00 interim dividend.

In distinguish, patron loans grew just 0.48% to N3.15 trillion, indicating that balance-sheet expansion tilted greater towards investment securities than lending.

Meanwhile, cash and cash equivalents declined 13.19% to N4.74 trillion, during the time that entire liabilities increased 6.63% to N15.30 trillion. Complete operating expenses increased 7.31% to N277.39 billion, driven notably by depreciation and amortisation, which rose 41.82% to N54.31 billion, alongside a 4.72% expand in personnel expenses to N56.97 billion.

Accordingly, despite stronger draw earnings and substantially lesser impairment charges, pre-tax revenue increased by just 0.35% to N603.03 billion from N600.90 billion.

Earn following tax, nevertheless, declined by 7.76% to N414.19 billion from N449.01 billion, substantially due to a 24.33% develop in revenue tax outlay to N188.85 billion from N151.89 billion.

The greater tax price effectively erased the marginal improvement recorded at the pre-tax stage.

Balance sheet

On the balance sheet, whole assets grew by 4.81% to N18.62 trillion from N17.76 trillion, supported substantially by an 11.32% improve in buyer deposits to N13.97 trillion, equivalent to 75.03% of complete assets.

Much of the added funding was channelled into investment securities, which rose 21.78% to N6.73 trillion, increasing their communicate of assets to 36.14%. H1 2025)

Gross salary: N1.11 trillion; +3.25% YoY.
Topic revenue: N873.39 billion; +7.51% YoY.
Entice expenditure: N223.79 billion; +24.24% YoY.
Net worry proceeds: N649.60 billion; +2.75% YoY.
Loan impairment charges: N18.72 billion; -65.94% YoY.
Net interest to salary following impairment: N630.88 billion; +9.29% YoY.
Net cost and commission revenue: N123.03 billion; -8.98% YoY.
Benefit later than tax: N414.19 billion; -7.76% YoY.
Whole assets: N18.62 trillion; +4.81% from N17.76 trillion as of December 2025.
Loans and advances to customers: N3.15 trillion; +0.48% from N3.13 trillion as of December 2025.
Client deposits: N13.97 trillion; +11.32% from N12.55 trillion as of December 2025.
Whole equity: N3.32 trillion; -2.82% from N3.41 trillion as of December 2025. Deposits from banks fell 30.84% to N226.16 billion, whilst other borrowed money declined 81.02% to N15.61 billion.
Entire equity declined 2.82% to N3.32 trillion, together with retained proceeds falling 5.98% to N1.62 trillion and equity’s provide of overall assets declining to 17.81%.

Provide charge execution

GTCO’s distribute value closed at N137.00 on September 28, 2026, unchanged from the preceding trading day and representing a 51.05% year-to-date achieve from its opening charge of N90.70 at the launch of the year.

Novel trading shows the stock gaining momentum in the latter section of September. GTCO H1 2026
Cash and cash equivalents: N4.14 trillion; -21.72% from N5.28 trillion as of December 2025

Driving the numbers

GTCO’s pre-tax benefit was driven by stronger draw proceeds and sharply bottom loan impairment charges, but the gains were primarily absorbed by greater funding and operating costs and weaker non-involve salary.

The topline remained constructive in H1 2026, despite the truth that growth was modest. The entice to proceeds was driven by:

Problem proceeds from loans and advances to customers even whilst broadly flat at N297.77 billion versus N297.54 billion, accounted for the largest supply at 34.1%.
Cash and cash equivalents, which increased to N204.72 billion from N131.95 billion and contributed 23.4% of entire resonate to earnings.
FVOCI investment securities, which rose to N244.84 billion from N234.23 billion and contributed 28.0%.
Revenue from investment securities at amortised price, which declined to N98.69 billion from N126.82 billion, contributed 11.3%

Still, the obtain from the solid interest to proceeds was partly offset by a 24.24% raise in topic expense to N223.79 billion, leaving net draw salary up by just 2.75% to N649.60 billion.

The biggest endorse to the bottom line came from lesser credit impairment charges. The provide value rose from N130.00 on September 18 to N137.00 on September 28, representing a 5.38% broaden over the period. Loan impairment charges fell 65.94% to N18.72 billion from N54.97 billion, allowing net involve earnings subsequent to loan impairment charges to strengthen by 9.29% to N630.88 billion.

It too recorded a N34.86 billion impairment reversal on other financial assets, continued supporting proceeds.

Yet, non-participate earnings provided reduced support. Net cost and commission salary declined 8.98% to N123.03 billion, during the time that other revenue fell to N44.35 billion from N70.92 billion.

This outweighed the broaden in trading gains to N47.30 billion from N37.92 billion, resulting in whole operating revenue growing by solely 2.96% to N845.56 billion.