GTCO, a Lagos-based financial holding company led by Nigerian banker Segun Agbaje, claimed a phenomenal success in the first half of 2024, with a profit of $552 million, up 222.9 percent from the previous year.
GTCO’s profit increased from N280.48 billion ($171 million) in 2023 to N905.57 billion ($552 million) in 2024, according per recently announced financial half-year figures. GTCO aims to be the first Nigerian firm to reach $1 billion in profits, which is supported by strong expansion.
The increase in profit is due to a significant increase in gross earnings, which rose from N672.6 billion ($410.3 million) to N1.39 trillion ($847.9 million). Key contributors were an increase in interest income, which rose from N214.45 billion ($131 million) to N607.7 billion ($371 million).
Additionally, fee and commission income increased significantly from N58.42 billion ($35.6 million) to N113.92 billion ($69.5 million), and the company achieved an unrealized fair value gain on financial instruments of N493 billion ($300.7 million) during the period.
GTCO, headquartered in Lagos, offers a variety of services, including retail and investment banking, pension and asset management, and payment solutions. GTCO has strategically extended its operations under Agbaje’s ownership of 0.14 percent, focusing on both traditional banking activities and the developing non-banking financial services industry.
Its proposed N400.5 billion ($260 million) capital issue is intended to support GTCO’s growth plans. The lender intends to issue nine billion new shares at N44.5 per share ($0.029). Expansion initiatives will focus on both domestic and foreign markets, with investments planned for Senegal, Cote d’Ivoire, Ghana, and Kenya, as well as reinforcing existing market positions.
The company’s financial health is further demonstrated by its total assets, which have increased from N9.69 trillion ($5.9 billion) at the end of 2023 to N14.51 trillion ($8.85 billion) by June 30, 2024.
Meanwhile, total equity and retained earnings both increased significantly. Total equity increased from N1.477 trillion ($901 million) to N2.399 trillion ($1.46 billion), while retained earnings increased from N580.03 billion ($354 million) to N1.27 trillion ($774 million).
GTCO’s board of directors proposes an interim dividend of N1 ($0.00061) per share, totaling N29.43 billion ($17.95 million). This distribution demonstrates the company’s commitment to returning value to shareholders while maintaining its strategic growth trajectory.
