GCB records increase in profit, deposits and asset base in 2018

GCB Bank Ltd has recorded a GHc1.38billion increase in total deposits from GHc6.92 billion in 2017 to GHc8.30 billion representing a 19.6 percent growth in 2018. This makes GCB the number one Bank in Ghana in terms of deposits and asset size.

This was announced at the 25th Annual General Meeting (AGM) organized by the Bank to consider and adopt the financial statement of the company for the year 2018. The event, which was attended by shareholders of the Bank as well as the media, took place at the Accra International Conference Centre (AICC).

The Chairman of the Board of Directors of GCB Bank, Mr. Jude Kofi Arthur, announced other significant gains the Bank made in the year under review.

“Due to the strong financial performance backed by the disciplined execution of the Bank’s strategy, the profit before tax increased by 35.6 percent to GHc 450.17 million in 2018 from GHc331.98 million in 2017,” he stated.

This impressive profit performance, which was driven by solid revenue growth, has resulted in an increased dividend which he announced to the delight of shareholders.

“Accordingly, we propose a dividend of 30 pesewas per share amounting to GHc79.50 million for the 2018 fiscal year. The increase in the dividend was attributed to the growth in the Bank’s basic earnings per share which grew from 0.89 pesewas in 2017 to GHc1.23 in 2018, representing a growth of 38 per cent,” he declared.

The amount, which is payable by June 17 to all shareholders who are registered with the Bank, represents a 200 per cent increase over the 2017 dividend, which was 10 pesewas per share.

As at December 2018, GCB Bank also recorded a total asset base of GHC10.72 billion which is a growth of 11.4 percent compared to GHc9.63 billion in 2017 and 9.30 billion for total liabilities.

Expressing optimism about the future performance of the Bank, Mr. Arthur announced plans to introduce a mobile wallet as part of strategies on transformation through digitization aimed at accelerating growth through the provision of first class banking solutions for its customers.

Hinting on the challenges in the past year, the chairman mentioned the high cost of operations as a major challenge to the Bank as it posted a cost-to-income ratio of 60.5 percent, which was well above the industry average of 53.5 percent.