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By Chukwuma Umeorah
Guaranty Trust Holding Company Plc (GTCO) has declared an interim dividend of N1.00 per share, amounting to a total payout of N34.14 billion on its 34.14 billion issued shares, despite a sharp decline in earnings for the half year ended June 30, 2025.
The Group’s audited financial statements filed on the Nigerian Exchange Limited (NGX) on Tuesday showed gross earnings of N1.07 trillion, representing a 23 per cent decline from N1.39 trillion in the corresponding period of 2024.
Profit before tax (PBT) fell by 40 per cent to N600.9 billion, compared with N1.00 trillion recorded a year earlier, while profit after tax (PAT) dropped by half to N449.01 billion from N905.57 billion. Profit attributable to equity holders declined to N441.29 billion, down from N899.89 billion in H1 2024, while basic earnings per share shrank to N13.59 from N32.12 in the prior year.
According to the company, the significant profit reduction was primarily due to the non-recurrence of N493.01 billion in fair value gains that were recorded in the first half of 2024, as well as market-wide pressures and rising costs that have affected balance sheets across the financial services sector. In contrast, the company reported a N4.4 billion fair value loss in the current period. Despite the overall decline, GTCO’s core banking business showed strength, with interest income growing by 31.5 per cent to N812.4 billion, driven by increased earning assets and improved yields. The company’s net interest margin improved by 180 basis points to 12.3 per cent. Total assets rose by 12.8 per cent to N16.692 trillion, while net loans and advances increased by 20.5 per cent to N3.358 trillion. Deposit liabilities grew by 16.6 per cent to N12.128 trillion compared to December 2024 figures.
GTCO highlighted efforts to preserve shareholder value, including international capital raising initiatives, noting that the dividend payout reflected its commitment to rewarding investors despite profitability pressures.
The Group sought to reassure stakeholders of its resilience by pointing to about N449 billion in profit and ongoing diversification across core and non-banking businesses. In July 2025, shortly after the reporting period, the Group raised $105 million (N160.6 billion) through a fully marketed offering on the London Stock Exchange (LSE). The transaction, which involved the issuance of 2.29 billion new ordinary shares, enabled GTCO to secure a secondary listing on the LSE’s main market and broaden its international investor base.
It stated that the international listing would strengthen liquidity, enhance visibility, and reinforce GTCO’s capital base for expansion across its subsidiaries, including asset management, pensions, and payments.
