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Business

Troyka Holdings Chair, Biodun Shobanjo, Inducted into Loeries Hall of Fame

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ICT

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NCC Spotlights Renewable Energy on World Consumer Rights Day

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Governors, NCC Set for Broadband Awareness Forum Oct 20

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VerveLife 5.0 Gears Up for Nairobi, Lagos Events

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Telecom Infrastructure Critical to Successful 2023 Elections – Danbatta

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Capital Market

SEC DG: Commission Considering Gradual Implementation of ISSB Standards

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ISSB-Aligned Disclosures Will Lower Capital Costs, Attract Global Investors — SEC

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SEC DG to Cadets:  Invest Early, Long Term to Create Wealth

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SEC DG: Accountability, Transparency will Boost Investor Confidence in Capital Market

The Director General of the Securities and Exchange Commission...

SEC DG: Digital Assets Represent $10tn Opportunity by 2030

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Insurance

13-year-old Rhema-Love Abraham Emerges Winner of 2025 Heirs Insurance Essay Championship

L:R- Funmi Olotu, National Coordinator, National Social Safety-Nets Coordinating...

Leadway Assurance: Insurance Company of the Year at 2025 BAFI Awards

L-R: Managing Director, Leadway Assurance, Gboyega Lesi; Publisher, BuisnessDay...

Heirs Insurance Group Announces Inaugural Travel Festival: A Call for Inclusive Travel Ecosystem for Africans

Heirs Insurance Group (HIG), Nigeria’s fastest-growing insurance group, has...

Sovereign Trust Insurance Celebrates 2025 Customer Service Week

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Leadway: 55 Years of Innovation, Expanding Financial Access, Inclusion Across West Africa

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Business

Troyka Holdings Chair, Biodun Shobanjo, Inducted into Loeries Hall of Fame

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Zenith Bank, NEM, Seplat, AIICO, Dangote Cement, First HoldCo Recognised as Nigeria’s High-Performing Companies

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Finance Min, Wale Edun, to Keynote FiBOP Annual Confab Oct 18

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Niteon Unveils First African Manufacturers Bank to Unlock $200bn Digital Export Market

Niteon, one of Nigeria's largest digital export marketplaces, has...

FG Boosts MSME Financing with NCGC Initiative

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ICT

Konga Partners Verve to Delight Customers with Free Shopping Vouchers

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NCC Spotlights Renewable Energy on World Consumer Rights Day

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Governors, NCC Set for Broadband Awareness Forum Oct 20

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VerveLife 5.0 Gears Up for Nairobi, Lagos Events

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Telecom Infrastructure Critical to Successful 2023 Elections – Danbatta

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Capital Market

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Insurance

13-year-old Rhema-Love Abraham Emerges Winner of 2025 Heirs Insurance Essay Championship

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Leadway Assurance: Insurance Company of the Year at 2025 BAFI Awards

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Heirs Insurance Group Announces Inaugural Travel Festival: A Call for Inclusive Travel Ecosystem for Africans

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GTBank Records 5% Profit Decline in H1 2020

The H1 2020 result of GTBank Plc shows that operating expenses expanded by 19.2% y/y to NGN83.31 billion, with the most pressure exerted by regulatory charges – AMCON levy (+11.1% y/y to NGN17.20 billion) and NDIC premium (+105.0% y/y to NGN8.26 billion).

A relative decline in earnings as a deterioration of its still industry-best efficiency led to a moderate decline in profitability.

Consequent on the OPEX growth relative to operating income growth, cost-to-income ratio (ex-LLE) settled higher at 43.2% relative to 40.6% and 37.6% in the prior quarter and the corresponding period of the prior year respectively.

According to Cordros Research, profitability was weaker, with profit-before-tax settling 5.2% lower year-on-year, while profit-after-tax settled 4.9% lower, given the decline in income tax expense (-7.3% y/y to NGN15.44 billion).
Also, the bank proposed an interim dividend of NGN0.30/s, which translates to a dividend yield of 1.2%, based on a market price of NGN25.66/s (2nd September 2020).
Interest income grew by 3.2% y/y to NGN153.71 billion, supported by growth in income from loans and advances to customers (+6.2% y/y), and investment securities (+6.9% y/y), both of which masked declines across interest income from cash (-57.4% y/y), loans to financial institutions (-45.3% y/y) and assets pledged as collateral (-14.7% y/y). We note that the strong growth recorded in risk assets (8.2% YTD to NGN1.62 trillion) was likely responsible for the acceleration in interest income from loans to customers.
On the other hand, interest expense pared by 20.0% y/y to NGN26.09 billion, despite an increase in deposits by 18.5% YTD to NGN3.00 trillion, as the bank has seemingly continued to improve its CASA (low-cost deposits: current and savings accounts) mix during the year.

Consequent on the strong balance sheet management, net interest income growth was strong, expanding by 9.7% y/y to NGN127.62 billion.
Non-interest income grew moderately during in the period, settling 1.0% higher y/y at NGN72.18 billion, with major lines recording declines save for, gains from FX trading (+43.6% y/y to NGN7.65 billion) and FX revaluation (+723.1% y/y to NGN21.90 billion).

While NII grew at a slower pace than might otherwise been expected, given revised charges and weaker transactions flows occasioned by the global pandemic, the positive impact of revaluation gains should lead to a positive year-on-year performance in non-core income.

Given the growth in income, and despite the exponentially larger loan loss expenses (+209.7% y/y to NGN6.77 billion), the bank recorded an expansion in operating income of 4.0% y/y.

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