Ghana’s second largest bank, GCB Bank recorded a modest growth in earnings for last year, as profit shot up by 4.39% to GH¢439 million.
According to its 2021 Audited Financial Statement for last year, GCB recorded a significant loan loss of GH¢219 million last year, largely due to the coronavirus pandemic, which compelled the bank to restructure some loans.
That impacted on its total income despite recording significant growth in all its income lines.
Net interest income grew by 22% year-on-year to GH¢1.4 billion, whilst trading income also shot up by 17.5% year-on-year to GH¢166 million.
Shareholders will however enjoy some GH¢1.66 pesewas earnings per share, higher than the one received in 2019.
The balance sheet continued to remain strong as its size grew to GH¢29 billion in 2020 compared to a little above GH¢22 billion the previous year.
With regard to the robustness of the bank, non-performing loans went up by 2.7% to 8.71%, but far below the industry average of about 15.5%.
Capital Adequacy Ratio-a measurement of a bank’s available capital to its Risk Weighted Assets was also way above the industry average, at 20.7%.
This financial soundness indicators signify a safe, sound and robust bank.
Financial Soundness Indicators
December 2020 | December 2019 | |
Capital Adequacy Ratio | 20.7% | 17.5% |
Non-Performing Loans | 8.71% | 6.01% |
Liquidity ratio | 64% | 60% |
Latest Stories
-
Court sentence man to life imprisonment for murdering girlfriend; daughter
1 min -
Bawumia’s $80 bn value claim for Spotify, false – Dubawa
12 mins -
GBA President calls for transparent and fair December election
27 mins -
November 8 not a public holiday – Interior Ministry
29 mins -
Policies the Church can promote to ensure every birth by a congregant is wanted, not unintended
32 mins -
Next NPP government to build new AG offices in all regions – Godfred Dame
51 mins -
Why corporate leadership can no longer be silent on sustainability
53 mins -
The Keeper’s Music unveils Neyty with new single ‘Most High God’
1 hour -
Bawumia outlines 8 initiatives to create 4 million jobs for youth if elected president
1 hour -
Over 4,000 unpaid teachers demand payment of 16 months arrears from government
1 hour -
I’ve apologised to Gloria Sarfo over flight issues – AMAA Country Director
1 hour -
Ghana nearly lost $9 billion to arbitrary claims in last four years – Attorney General
2 hours -
FWSC responds to CLOGSAG strike declaration, urges return to negotiation
2 hours -
Members contribute to ‘transport’ national team – Volleyball Vice President laments financial struggles
3 hours -
New SHS curriculum provides adaptive learning pathways – EduWatch
3 hours