GCB Bank PLC has posted a record-high Profit Before Tax of GHS 1.91 billion for the 2024 financial year, marking a 25.3% year-on-year increase as the bank concludes its four-year strategic cycle.
The audited financial results underscore the bank’s resilience amid a challenging operating environment characterized by regulatory reforms that significantly impacted liquidity across the banking sector.
Resilient Performance Amid Market Headwinds
Revenue for the year grew by 19%, driven by a 19.02% rise in interest income, a 42.72% surge in non-funded income, and an 8.41% increase in net trading income. The gains reflect GCB Bank’s operational efficiency and its ability to adapt to evolving market dynamics.
The 2024 results represent the best performance in our history in nominal terms, marking a significant achievement in our journey,” said GCB Bank’s Managing Director, Farihan Alhassan.
“However, there is still room for improvement in our efficiency metrics. With sizeable investments in systems, talents, and people, we are on course to enhance efficiency across our network.”
Strategic Pivot Drives Balance Sheet Growth
A strategic shift towards a sales-driven, customer-centric approach in 2024 significantly bolstered balance sheet growth. The bank’s total assets rose by 58% to GHS 42.58 billion, accounting for 11.58% of the industry’s total assets — outpacing the 33.79% growth in industry-wide assets.
Deposits surged by 58.1% to GHS 34.63 billion, while the loan book expanded by 52.83% to GHS 10.2 billion, securing an 11.85% share of total industry loans.
Strengthened Capital and Asset Quality
Shareholders’ equity rose by 44.72% to GHS 4.05 billion, boosting the Capital Adequacy Ratio (CAR) to 15.23% — well above the regulatory minimum of 13%. The bank’s Non-Performing Loans (NPL) ratio improved, declining by 5.1 percentage points to 15.1%, reflecting a proactive risk management approach.
Earnings Per Share (EPS) climbed to GHS 4.56, while Return on Equity (RoE) stood at 35.29%, and Return on Assets (RoA) reached 3.48%.
Path to Sustainable Profitability
Despite rising costs in interest expense, fees, and operating expenses, GCB Bank’s investments in technology, talent, and systems have set a strong foundation for future growth. The bank’s customer-focused strategy, underpinned by digital transformation, ecosystem incubation, and market diversification, is expected to drive sustained profitability in the coming strategy cycle from 2025.
With the steady improvement in the operating environment, we are determined to build on this momentum to drive growth in the years ahead,” Alhassan added.
GCB Bank’s renewed focus on operational efficiency and customer-centric innovation positions the bank to consolidate its leadership in Ghana’s banking sector as it enters its next strategic phase.
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