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GCB Bank PLC has recorded a historic Profit Before Tax of GHS3.17 billion for the 2025 financial year, representing a 67.4% increase compared to the previous year.
The strong performance was driven by robust deposit mobilisation, with customer deposits rising by 19.7% to GHS41.3 billion. This supported a 23% expansion in total assets to GHS52.6 billion and fueled a 56.8% surge in the loan book to GHS16.39 billion as credit demand rebounded.
Operating income grew significantly by 40.9% to GHS6.3 billion, supported by increases in both interest and non-interest income. Interest income rose by 38.3%, while non-funded income—comprising fees, commissions, and trading revenue—jumped 58%, reflecting the bank’s strategic shift toward diversified revenue streams.
The bank noted that non-funded income is becoming increasingly critical as declining interest rates, including reductions by the Bank of Ghana, continue to pressure traditional lending margins.
On the asset quality front, GCB recorded notable improvements, with its non-performing loan ratio declining to 10.3% from 15.1% in 2024. The cost of risk also dropped significantly, contributing to the record profit.
The bank maintained a strong capital position, with a capital adequacy ratio of 18%, well above the regulatory requirement. Liquidity levels remained solid, with cash and liquid assets totaling GHS14.5 billion.
Shareholders also benefited from impressive returns, as the bank’s share price rose from GHS6.37 to GHS20.11, representing a 215.7% gain over the year.
The results come in the first year of GCB’s 2025–2028 strategic plan, which focuses on diversifying its business model across retail, commercial, and transaction banking, while advancing digital transformation and sustainability initiatives.
Managing Director Farihan Alhassan described the results as a reflection of disciplined execution and strategic leadership, expressing confidence in the bank’s ability to navigate future challenges and sustain growth.
Source: citinews
