Total assets of GTCO, Zenith, Access, FBN, UBA hit N146trn in Q3 2024

The total assets of Nigeria’s top 5 banks surged by more than 55 per cent year to date to settle at N146.34 trillion, according to figures obtained from the banks’ unaudited financial statement for the third quarter of 2024. The financial services group’s increased total assets were driven by loan growth as higher deposits taken raised lending appetite. The Central Bank of Nigeria’s enforcement of cash reserves ratio supported loan growth in the period. The five banks loans to customers rose by 44.18% from the beginning of the year to date to settle at N41 trillion.  Access Holdings alone accounted for more than 28.7% of the top five banks loan to customers in the period. 
GTCO was the lowest lender, accounting for 7% of the tier-1 banks loan to customers.  Further review showed that loan accounted for 28.23% of the tier-1 banks total assets at the end of the 9M of financial year 2024. On the earnings side, the top banks grew profit by 97% year on year to N3.43 trillion in the period.  The earnings growth experience by the big lenders was driven by interest rate adjustment on loan books to reflect changing market dynamics. Despite tough economic conditions, local deposit banks have been on the winning side after successive interest rate hikes. The monetary policy tightening drive was spurred majorly by double digits inflation rate. Interest rate was hiked to 27.25% at the policy meeting despite disinflation. 
Fitch Ratings projected further hike in headline inflation for the last policy meeting in 2024. GTCO led the profit making machine team as the group profit rose by more than 195% year on year to N1.085 trillion. The financial services group loans to customers was N3.02 trillion in the period, the smaller size among its peers. GTCO hold sizeable amount in shareholders fund worth N2.632 trillion, from N1.477 trillion at the beginning of the year. GTCO profit accounted for 31.6% of the Tier-1 banks profitability in the period, according to a review of their numbers. Zenith bank came second in terms of profit making during the earnings season. Its financial statement showed that profit climbed by 90.5% year on year to N827 billion at the end of 9month of financial year 2024. The bank total assets climbed to N30.38 trillion at the end of third quarter of 2024 from N20.368 trillion at the beginning of the year as loan book expanded. Zenith bank loan to customers climbed to N9.4 trillion from N6.556 trillion at the beginning of the year.
FBN Holdings ranked third in terms of size of profit. The elephant branded financial services company posted 126% year on year growth in profitability in the period after growing loan book by more than 47% from the beginning of the year to date. Its profit settled at about N534 billion at the end of 9M of financial year 2024 from N236 billion a year earlier, driven by a strong growth in interest income with support from non-interest related income. UBA ranked next to FBN Holdings in profit performance. The Pan African lender’s net income increased by 16.9% year on year to settle at N525 billion from N449.296 billion in the comparable year. In the period, UBA profit growth was the slowest even when loans to customers grew by about 47% year on year. Access Holdings Plc, which is the biggest bank in Nigeria, is the lowest performer in the Tier-1 category. Access PLC profit grew by 83% to about N458 billion from N250 billion in the prior period. Access Plc loan to customer increased by about 48% year on year to N11.861 trillion.