Shareholders of GTCO approve a 2022 total dividend payout of N91.24 billion

Shareholders of GTCO approve a 2022 total dividend payout of N91.24 billion, for the fiscal year that ended on December 31, 2022, Guaranty Trust Holding Company (GTCO) Plc shareholders approved the payment of a total dividend of N91.236 billion, or N3.10 per share.

This approval was given at the holding company’s second annual general meeting, which took place digitally on Thursday.

In addition to the interim dividend of 30 kobo paid in June, the Company proposed a final dividend of N2.80 per unit of ordinary share owned by shareholders, bringing the total payout for the 2022 fiscal year to N3.10 per unit of ordinary share.

Despite the operational climate, shareholders praised the board for the financial performance it achieved over the reviewed period.

Speaking on behalf of the shareholders, Cheif Timothy Adesiyan, the immediate past president of the Nigeria Shareholders Solidarity Association, praised GTCO management for the group’s consistent dividend policy and strong 2022 financial performance.

He added that the Group’s lending to the agricultural, SME, and real estate sectors, among others, has helped the economy thrive, as evidenced by the Award the Company won that year.

The GTCO Chairman, Mr. Hezekiah Oyinlola, said in a statement to shareholders that “when I look on 2022, I recall the obstacles we faced at every turn and the potential that became key milestones in our road towards creating a powerful yet nimble institution.

We take satisfaction in the tangible results of our dedicated work and unwavering determination to improving our position as a leading provider of financial services in Africa as we look across our expanding GTCO Universe.

“Our target was crystal clear in 2022, and we set out to achieve it with unflinching commitment,” he claimed. We finished establishing our holding company and fully acquired Investment One Pension Managers and Investment One Fund Managers, which are now known as Guaranty Managers of Trust Pension Plans and Guaranty Trust Funds, respectively. Our payment division’s parent company, HabariPay Limited, debuted in 2022 as well and almost immediately released its flagship product, Squad, to the market to rave reviews.

The success of the newly established businesses in payments, fund managers, and pensions—which were profitable before taxes by year’s end—is what stands out to me.

When asked about the outlook, Oyinlola said, “The momentum we have built-up in recent years means that we are now in a position to leverage every opportunity to grow and sustain our superior financial performance.

Our flexible infrastructure and varied company strategy will allow us to quickly respond to shifting market conditions and change the economic tides in our favour. In the coming years, one of the main factors determining our performance will continue to be our customer-centricity, focus on innovation, and long-term value generation.

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In spite of the various difficulties and hindrances that hampered growth in 2022, the Group produced a respectable performance, posting a pre-tax profit of N214.2 billion, a decrease of 3.0% from the N221.5 billion reported for the full year, 2022, according to Group Chief Executive Officer of GTCO, Mr. Segun Agbaje. Due to the high impairment amount of N35.6 billion recognised on the Ghanaian sovereign securities, the PBT contribution from West Africa declined from 21.0 percent in December 2021 to 12.3 percent in December 2022.

Additionally, he pointed out that during the same time frame, the Nigerian Banking Subsidiary’s size climbed from 79.5 to 84.3 percent, and East Africa’s contribution to the Group somewhat increased from 3.0 to 3.4%.

The Group additionally benefited from a contribution of 0.9% from the Non-Banking Subsidiaries, which made up for the United Kingdom’s negative contribution of 0.8% in FY-2022.

From N447.8 billion in 2021 to N539.2 billion in the full year 2022, gross earnings climbed by 20.4%.

“2022 was a year that challenged our resiliency and our resolve,” said Agbaje. We are certain that we will take advantage of all opportunities and address obstacles as they arise as we look to the future come.

I firmly believe that our organization’s new holding structure will prove to be a catalyst for our progress towards sustained growth and success.

According to GTCO CEO, Guaranty Trust Holding Company is a framework of complementary businesses rather than a conglomerate, which enables us to remain inventive, flexible, and responsive to shifting market conditions while ensuring that we continue to provide excellent returns to our shareholders.

Also, we’ll remain leading the financial services industry because we’ll always uphold the ideals of hard work, transparency, integrity, and putting our customers first, not only because we’ll keep pursuing technology improvements and digital capabilities that keep us ahead of the curve that we do.”

Thanks to its strong service culture, effective management, world-class corporate governance standards, and bias for innovation, Guaranty Trust has maintained an uninterrupted streak of yearly growth since it began operations in February 1991 and has consistently taken the lead in advancing the digitization of financial services in Nigeria.

As part of the company’s strategy to position itself for future growth and provide benefits beyond banking to the people, communities, and businesses who depend on the value we create to thrive, Guaranty Trust Bank Plc was reorganised into a financial holding company, Guaranty Trust Group Holding Company, in April 2021.