Highlights
- GT HoldCo declared an interim dividend of ₦1.00 per share.
- Gross earnings increased by 3% Year-on-year (YoY) YoY from ₦1.07 trillion in H1 2025 to ₦1.11 trillion in H1 2026.
- Net interest income increased by 3% YoY from ₦632.24 billion to ₦649.60 billion.
- Net fee and commission income declined by 9% YoY from ₦135.17 billion to ₦123.03 billion.
- Profit after tax (PAT) declined by 8% YoY from ₦449.01 billion to ₦414.19 billion
- Earnings Per Share (EPS) declined by 18% from ₦13.59 to ₦11.18.
Outlook
GT HoldCo has shown its ability to sustain predictable earnings over time. A key driver of its earnings (Interest Income) is premised on investment in securities, i.e. fixed income instruments. This is a sign of a strong financial institution with a conservative risk approach. In a declining interest rate environment, margins may suffer from such a strategy. GT Bank, alongside The Group, may consider loosening the wallet and increasing the portion of loan book relative to its ability to lend (deposits from customers and banks) to avoid a decline in profitability margins.
However, in line with The Group’s historical actions, WSTC Research is of the view that an increase in allocation to investment in securities may be the preferred choice. This is a more risk-averse approach and allows The Group to continue to add value to its shareholders with minimal volatility in earnings. Overall, WSTC Research is of the view that GT HoldCo is a suitable addition to any investor seeking a predictable dividend and long-term capital appreciation of initial capital invested.
Please follow the link “Guaranty Trust HoldCo H1 2026 – Interest Income Remains a Key Earnings Driver” to view the whole report.
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