- GTCO's half-year profit surged by 222.9%, reaching $552 million, driven by strong earnings growth in interest and fee-based income.
- Increased interest and fee income drove profit, with gross earnings rising from $410.3 million to $847.9 million.
- The companys assets grew to $8.85 billion, with a proposed capital raise of $260 million for expansion in Africa.
Guaranty Trust Holding Company Plc (GTCO), a Lagos-based financial holding company led by Nigerian banker Segun Agbaje, reported a remarkable performance in the first half of 2024, with a profit of $552 million, marking a 222.9 percent increase from the previous year.
According to recently released financial half-year results , GTCOs profit leaped from N280.48 billion ($171 million) in the first half of 2023 to N905.57 billion ($552 million) in the same period of 2024. This significant growth aligns with GTCO's ambitious target to become the first Nigerian company to achieve a $1 billion profit milestone .
Interest, fees drive profit surgeThe surge in profit is attributed to a substantial increase in gross earnings, which rose from N672.6 billion ($410.3 million) to N1.39 trillion ($847.9 million). Key drivers included a boost in interest income, which grew from N214.45 billion ($131 million) to N607.7 billion ($371 million).
Additionally, fee and commission income saw a notable rise from N58.42 billion ($35.6 million) to N113.92 billion ($69.5 million), and the company recorded an unrealized fair value gain on financial instruments of N493 billion ($300.7 million) during the period.
Segun Agbaje leads GTCO's strategic expansionGTCO, headquartered in Lagos, provides a wide range of services including retail and investment banking, pension and asset management, and payment solutions. Under Agbaje, who owns a 0.14 percent stake, GTCO has expanded its operations strategically, focusing on both its traditional banking activities and its growing non-banking financial services sector.
