Guaranty Trust Holding Firm has declared a ultimate dividend of ₦11.76 per share for the monetary 12 months ended December 31, 2025, bringing whole dividend for the 12 months to ₦12.76 per share even because the group reported a decline in revenue.
In line with the corporate’s company announcement dated March 31, 2026, the proposed ultimate dividend can be paid to shareholders whose names seem within the register of members as of April 13, 2026, with cost scheduled for April 28, 2026.
The dividend declaration comes on the again of a weaker earnings efficiency in comparison with the earlier 12 months.
GTCO had earlier reported revenue after tax of ₦865.75 billion for 2025, down from ₦1.02 trillion recorded in 2024 as strain from declining non-interest earnings, rising working prices and better tax bills weighed on the monetary large’s revenue.
Regardless of the drop in revenue, the holding firm maintained an aggressive shareholder return technique, signaling robust confidence in its capital place and money circulate resilience.
The full dividend of ₦12.76 per share implies a considerable payout ratio, reinforcing GTCO’s fame as one of many highest dividend-paying monetary establishments in Nigeria.
A breakdown of the announcement reveals that no bonus was proposed for the interval, whereas the register of shareholders can be closed on April 14, 2026 to facilitate dividend cost processing.
Shareholders listed on the Nigerian Change (NGX) will obtain funds in naira, whereas these holding Depositary Pursuits on the London Inventory Change (LSE) can be paid in U.S. {dollars}, primarily based on the relevant trade fee to be decided and communicated by the corporate.
The choice to maintain a powerful dividend payout comes at a time when the bank’s earnings high quality has come beneath strain. Whereas web curiosity earnings improved considerably, supported by greater yields in a rising rate of interest setting, non-core earnings declined sharply, notably “different earnings,” which fell from ₦499.07 billion in 2024 to ₦139.95 billion in 2025.
Moreover, working bills elevated throughout key strains, together with personnel prices and depreciation, whereas earnings tax expense rose considerably to ₦365.33 billion, additional compressing web revenue.
Earnings per share additionally declined to ₦25.43 from ₦35.44 within the earlier 12 months, indicating diminished returns relative to earnings efficiency.
Nevertheless, the declared dividend means that GTCO is prioritizing shareholder worth distribution regardless of the earnings slowdown.
The divergence between declining profitability and sustained dividend development highlights a strategic steadiness between rewarding buyers and sustaining monetary stability. Whereas the payout underscores robust liquidity and capital buffers, it additionally raises questions on long-term sustainability if earnings pressures persist.
Traders are anticipated to intently monitor GTCO’s skill to rebuild non-interest earnings streams, handle rising prices and optimize its tax place within the coming quarters.
The bank’s capability to take care of its dividend coverage will largely rely upon the power of its core earnings and macroeconomic situations.
Total, GTCO’s 2025 dividend announcement reinforces its market positioning as a dividend-focused inventory, but in addition indicators the necessity for improved earnings high quality to maintain future payouts.
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