#1April 2023 GTCO Proudly African, Truly International Banking. Fund Managers. Pension Managers Payments 2022 Full Year Investor Presentation Guaranty Trust Holding Company Plc GTCO#2Outline ■ ☐ ◉ Global Currency and Macro-economic Review Regulatory Overview FY 2022 Performance Review Banking Subsidiary Review ◉ Non-Banking Subsidiaries Review ■ Guidance and Plans for FY 2023 Guaranty Trust Holding Company Plc FY 2022 Investor Presentation#3GTCO Macro-economic Review Guaranty Trust Holding Company Plc | FY 2022 Investor Presentation#4Global Currency Review In 2022, the U.S. dollar strengthened against nearly every other major currency, as the Federal Reserve (Fed) aggressively increased interest rates amid a stubbornly high inflation rate. As a result, most developing economies saw huge capital flow reversal with adverse impacts on current account balances and debt servicing. We anticipate that some of the outsized gains of the dollar in 2022 reverse this year as the outlook for global growth remains optimistic. UK, Eurozone, & China West Africa 8 7 6 5 4 3 2 1 0 Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 USD/GBP USD/EUR -USD/CNY Source: Bloomberg, GTCO IR analysis 2,500 2,000 1,500 1,000 500 Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 - USD/TZS 700 600 500 400 300 200 100 Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 USD/GMD Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 USD/RWF USD/KES East Africa USD/GHS Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 USD/CFA =USD/NGN 40 04#5Interest Rates and Inflation Highlights Interest Rate The global finance system was tested as Central Banks simultaneously hiked the benchmark rate in response to inflation in an environment of slow growth. Financial strain has typically followed periods of rapid interest rate increases. Inflation We anticipate that some emerging markets will prove resilient, however, downside risks still predominate the outlook for easing inflation globally, as Central Banks continue to respond to inflationary pressures by raising interest rates. High interest rates mean high borrowing costs which pose a challenge to economic growth. 12.0 10.0 8.0 6.0 4.0 20 2.0 Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 Source: Bloomberg, GTCO IR analysis UK USA Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 CHINA ECB 5 4.5 4 3.5 3 2.5 2 1.5 1 0.5 0 Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22. Nov-22 Dec-22 UK USA CHINA FCB 05#6Macro-economic Review (Nigeria) Nigeria's oil production remains significantly below the approved quota amidst concerns of pipeline vandalization and infrastructural gaps as oil prices hover at US$100 per barrel. Notwithstanding favourable oil prices, external reserves declined by 8.5% (US$1.37bn) from US$40.52bn on the last trading day of 2021 to US$37.08bn as of 30 December 2022. Fixed Income Securities (FIS) market turnover printed at #3.89Bn in 2022 from #3.53Bn recorded in 2021, representing a 10.20% y-o-y increase. As yields typically trail inflation rates, we expect yields in the FIS space to remain elevated through 2023 amidst growing debt financing by the FGN and excess naira liquidity in the system. 117.78 106.71 103.19 14.40 10.20 90.81 8.40 77.23 73.73 68.53 60.99 9.70 8.10 6.30 5.93 5.42 4.82 4.67 40.61 39.93 39.12 38.8 37.34 35.53 34.5 34.13 3.56 3.56 3.54 3.53 5.90 3.28 2.50 4.45 1.72 1.61 1.67 1.56 1.49 1.43 1.30 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2021 2022 Oil Production Oil Prices External Reserves 2.51 2.51 2.29 2.15 2.17 1.34 Q1 Q2 Q3 Q4 Q1 Q2 Q3 04 2021 2022 91 days 182 days 360 days The knock-on effects of the ongoing Russia-Ukraine war as well as structural deficiencies continue to mount pressure on commodity prices. November 2022 headline inflation surged to a 17-year high of 21.47%, tapering slightly to 21.34% in December. GDP growth was sustained over eight consecutive quarters at an average of 3.54% in Q4. The value of the Naira mirrored the downward trend in reserves as the Naira continued to depreciate in both the I&E window and parallel markets on the back of declining FX inflows and growing demand. We expect the foreign exchange rate to remain under pressure. 17.93 17.32 17.71 16.99 15.67 15.74 0.51 5.01 4.03 3.98 3.11 21.3 20.31 470 460 450 440 430 420 410 3.52 400 390 380 Q1 Q2 Q3. Q4 Q1 Q2 Q3 Q4 2021 2022 02 Q3 Q4 Q1 Q2 аз 04 2021 2022 Source: NBS, CBN Data, OPEC, GTCO IR analysis Inflation (y-o-y%) ■GDP (y-o-y%) NAFEX CBN 06#7Sub-Saharan Africa Interest Rates and Inflation Highlights Interest Rate In response to happenings in major global economies, most African economies raised their benchmark rate to curb inflationary pressures. Inflation Economic output is still below pre-pandemic levels this year. Inflation is expected to remain elevated due to the limited fiscal policy environment. 30 25 20 15 10 5 12 10 8 6 Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 Gambia Ghana Liberia Cote D'voire 0 Jan-22 Feb-22 Mar-22 Apr-221 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 ▬▬▬▬▬▬▬ Tanzania: ― Rwanda Uganda Kenya Source: Bloomberg, AfDB, GTCO IR analysis 60.0 50.0 40.0 30.0 20.0 10.0 25.0 20.0 15.0 10.0 5.0 Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 Gambia ▬▬▬▬▬▬Ghana ▬▬▬▬▬▬▬▬▬Liberia Cote D'voire Jan-22 Feb-22 Mar 22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 Tanzania Rwanda Uganda Kenya 07 67#8Macro-economic Review and Outlook Global Sub-Saharan Africa West Africa East Africa Global Inflation has moderated slightly since mid-2022 attributed in part to the drop in prices of fuel and energy commodities, especially in the United States, Euro area and Latin America. We anticipate a further decline in growth across many countries, with mixed outcome across advanced and developing economies. Sub-Saharan Africa experienced slow economic growth, falling from 4.1% in 2021 to 3.6% in 2022. Projections indicate that the region's economic activity is would further decline in 2023 due to the persistent sluggishness of the global economy and elevated inflation rates compounded by high levels of fiscal debt. The pace of economic expansion in West Africa decelerated to 3.6 percent in 2022 compared to 4.4 percent in 2021. The largest economy in the region, Nigeria, experienced a reduction in growth to 3.0 percent in 2022, down from 3.6 percent in 2021. Ghana experienced a growth decline due to macroeconomic imbalances such as high inflation, currency depreciation, and a public debt estimated at 91% of GDP. is Growth in East Africa anticipated to reach 5.0 percent in 2023 and further accelerate to 5.4 percent in 2024. Although countries in the region are largely dependent on the import of commodities, which exposes them to the impact of high international prices and recurrent climate shocks, such as drought, affecting the region. 08#9GTCO Regulatory Overview © Guaranty Trust Holding Company Plc | FY 2022 Investor Presentation | April 2023#10Regulatory Overview - 2022 ■ CBN introduces an e-Valuator and e-Invoice as part of the documentation required for import transactions. CBN issues and export updated operating guidelines for RT200 Non-Oil Export Proceeds Repatriation Rebate Scheme. The RT200 (Race to US$200 billion in FX Repatriation) programme aims to stabilize sustainable FX inflows from non-oil exports. ■ CBN extends the 9.0% per annum interest rate on all intervention facilities for one year. The forbearance applies to credit facilities impacted by Covid-19. " " The Monetary Policy Committee (MPC) raised the benchmark rate, on a cumulative basis starting July 2022, by 500 basis points to 16.5 percent by November 2022 to curb inflationary pressures. The baseline rate has been raised twice by 250 basis points in 2023 and currently stands at 18%. CBN introduced Naira Redesign Policy (N200, N500, and N1000 notes) and revised cash withdrawal limits. The old and new notes serve as legal tender till December 2023. " " SEC mandates all CMOS to screen and verify all clients against proscribed groups and sanctions lists before onboarding and filing STRS to the NFIU. SEC issues new rules on issuance, offering platforms and custody of digital assets. ■ The Commission introduces processing fees for fairness of mergers and acquisitions or other forms of corporate restructuring. SEC reviews annual renewal fees for CMOS downward from 25% to 5%, payable annually not later than January 31st. CURITIES AND EXCHANGE COMMISSION N ■ SEC introduces regulatory fees on Fixed Income (bonds) secondary market transactions. ■ PenCom publishes the status of implementation of the contributory pension scheme by the 36 states of the Federation and the FCT. ■ PenCom issues circular on procedures for the processing of temporary access from Retirement Savings Accounts for employees of Federal Government Treasury Funded Ministry, Department & Agencies, which allows these set of employees to access 25% of their contributions pending verification and enrollment. ■ PenCom issues revised regulations on the administration of Retirement and Terminal benefits. 10 10#11GTCO FY 2022 Financial Performance Review Guaranty Trust Holding Company Plc | FY 2022 Investor Presentation#12GTBank Ghana Impairment Following the suspension of all Debt Service Payments in line with the Domestic Debt Exchange Programme (DDEP), the Ghanaian Government signalled default on its obligations. The DDEP proposed a voluntary exchange of US $7.5billion (approx.) of existing Domestic Notes/Bonds held by various local investors, for a package of new bonds with extended payout dates and reduced coupon rates. The DDEP was the first step of the Country's Debt Restructuring Exercise, which was a pre-condition for a US $3bn loan, that the Government had sought from the International Monetary Fund (IMF), to restore macroeconomic stability and debt sustainability (with public debt at over 100% of GDP, and debt service costs absorbing 70%-100% of revenues). Guaranty Trust Holding Company Plc is exposed to Ghana's Sovereign Debt Restructuring, as a result of its indirect investment in GTBank Ghana, which is a direct subsidiary of GTBank Nigeria Ltd (98% ownership). The Group also has exposures to Eurobonds issued by the Government of Ghana, through the following entities: GTBank Nigeria Ltd, GTBank Sierra Leone, GTBank Liberia, and GTBank Rwanda. In line with IFRS 9, the Government's signal of default on debt payments and the ensuing Debt Restructuring Plan is an impairment trigger requiring each of the Entities with exposures to the Ghanaian sovereign securities to recognise impairment losses. The impairment levels applied to the different classes of Financial Instruments (FIS) varied in line with jurisdiction, loss history, nature, and timing of cashflows. Group Exposure Per Instrument Type (N'Bn) 41.7 34.7 31.5 59.7 167.6 Impairment. Exposure -1.0 -4.2 -14.1 -16.3 -35.6 43.3 33.7 27.6 27.4 EAD* 132.0 Treasury Bills Eurobonds** Bond: Local USD Bonds Bond: Local Cedis Bonds Total Eurobond Exposure by other Entities within the Group (N'Bn) Instrument Type Treasury Bills Assumptions 3.1% loss rate (after excluding post year-end settlements)* Eurobonds 30%-45% loss rate Bond: Local USD 13% loss rate Bond: Local Cedis 27% loss rate 5.0 5.2 4.0 Exposure 2.4 Impairment -1.3 -1.2 -1.6 2.4 3.6 2.7 EAD -2.6 GTBank Sierra Leone GTBank Nigeria GTBank Liberia GTBank Rwanda *The loss rate of 3.1% was applied on the EAD after deducting post year-end redemptions of N6.99bn by the Government of Ghana. *EAD - Exposure at Default Post-impairment (net position) *DDEP Domestic Debt Exchange Programme ** Includes exposures by other Entities within the Group 1.2 12 22#13Key Performance Ratios - Group Net Interest Margin Cost to Income Ratio Capital Adequacy Ratio December 31, 2021 December 31, 2022 6.74% 6.68% 42.28% 48.03% 23.80%* 24.08% 38.26%* 49.93% Liquidity Ratio Loans to Deposits and Borrowings 42.08%* Return on Equity 26.10% Return on Assets NPL to Total Loans Cost of Risk Coverage (with Reg. Risk Reserve) 150.40%* * FY 2022 4.27% 39.81% 23.61%** 3.60%** 6.04%* 5.19% 0.47%* ** Pre-tax profit expressed due to impact of Finance Act and expiration of CIT Exemption Order 2011 on tax 0.62% 175.50% 13#14FY 2022 Group Balance Sheet Snapshot (N'Billions) * FY 2022 19% Total Assets 6,446.5 FY 2022 5,436.0 FY 2021 Gross Loans and Advances 1,972.4 FY 2022 5% 1,886.4 FY 2021 9% Investment Securities 1,225.0 FY 2022 1,206.1 FY 2021 21% Total Liabilities 5,515.3 FY 2022 4,552.8 FY 2021 Net Loans and Advances 1,885.9 FY 2022 5% 1,802.7 FY 2021 Earnings Per Share (EPS) 595 Kobo* 19% FY 2022 614 Kobo FY 2021 5% 12% 3% Total Equity 931.1 FY 2022 883.2 FY 2021 Total Deposits 4,610.3 FY 2022 4,130.3 FY 2021 Total Dividend 310 Kobo* FY 2022 300 Kobo FY 2021 14#15Balance Sheet (Group) Group Group In thousands of Nigerian Naira Dec-22 Dec-21 %y-o-y change In thousands of Nigerian Naira Dec-22 Dec-21 %y-o-y change Assets Liabilities Cash and bank balances 1,621,101,169 933,591,069 74% Deposits from banks Financial assets held at fair value through profit or loss Deposits from customers 128,782,374 104,397,651 23% Financial liabilities at fair value through profit or loss Derivative financial assets 33,913,351 24,913,435 36% Derivative financial liabilities Investment securities: Other liabilities - Fair Value through profit or loss 3,904,458 3,904,458 0% Current income tax liabilities Other borrowed funds - Fair Value through other comprehensive income 357,704,355 276,041,190 30% - Held at amortised cost Assets pledged as collateral Loans and advances to banks 863,421,525 80,909,062 846,923,2152 2% 79,273,911 2% 54,765 Loans and advances to customers Restricted deposits & other assets 1,885,798,639 1,232,611,251 115,014 -52% 1,802,587,381 5% 1,137,554,208 8% Deferred tax liabilities Total liabilities Equity Share capital Share premium Treasury shares 125,229,187 4,485,113,979 118,027,576 4,012,305,554 12% 6% 1,830,228 0% 4,367,494 724,902,202 35,307,860 126,528,105 12,028,172 1,580,971 176% 231,519,271 213% 5,515,307,227 22,676,168 56% 153,897,499 -18% 12,800,866 -6% 4,522,807,905 21% Retained earnings 14,715,590 123,471,114 (8,125,998) 214,858,054 14,715,590 0% 123,471,114 0% (8,125,998) 0% Property and equipment, and Right-of-Use Assets 197,860,484 203,971,924 -3% Other components of equity 567,085,367 198,358,025 8% 535,938,145 6% Intangible assets Deferred tax assets 29,411,898 10,983,098 19,573,604 50% 3,187,937 245% Total equity attributable to owners of the Parent 912,004,127 864,356,876 6% Non-controlling interests in equity Total equity Total assets 6,446,456,429 5,436,034,997 19% Total equity and liabilities 19,145,075 931,149,202 6,446,456,429 18,870,216 1% 883,227,092 5% 5,436,034,997 19% 15#16Balance Sheet Composition The Group closed FY-2022 with a Total Asset of N6.5tn representing a growth of 18.6% over #5.44tn posted in FY 2021; maintaining a well-structured and diversified Balance sheet across all its Banking and Non-Banking Entities (Nigeria, Other West Africa, East Africa, United Kingdom, Payments, Pension and Asset Management). It grew across all asset lines, benefiting from increased inflows from Deposit Liabilities on the back of an improved funding base driven by the synergy created through the Holding Company structure and a 6.1% y-o-y exchange rate movement in Nigeria (from FY-2021 closing of N435/$1 to FY-2022 closing of #461.5/$1). The 12% increase in Deposit Liabilities was deployed to fund increase in Earning Assets which comprise Money Market Placements, Investment Securities and Loans and, to fund the increase in CRR debits. Earning Assets constitute 58% of Total Assets and grew by 9.6% to 3.77tn in FY-2022 from #3.44tn in FY 2021. Across all jurisdictions of operations, Credit risk heightened as the macroeconomic condition worsened from the impact of sustained pressure on exchange rates, rise in debt levels and elevated inflation; necessitating the Group's cautious approach to loan growth to avoid NPLs. Net Loans grew by 5%, closing at N1.86tn in FY-2022 from #1.803tn in FY-2021. This growth is essentially from Nigerian operations. The loan book remains well distributed with LCY:FCY mix improving to 53%:47% from 51%:49%, positioning the Group against further depreciation. The Group grew its Investment Securities Portfolio by 9.5% (#124.2bn) to #1.435trn from #1.311trn during the same period but this did not translate to the desired revenue, owing to the sub-optimal yield environment that pervaded Nigeria, Gambia, Kenya and Cote D'Ivoire, e.g. GTBank Ltd continued to suffer from huge holdings of the CBN's Special Bills - #561.5bn, constituting 56.0% of its Fixed Income Securities portfolio which it held at an average rate of 0.48% vs 1.24% cost of Funds as at FY-2022. The funding base remains very strong, increasing by 15.8% to N6.019trn in FY-2022, comprising Customer Deposits (77%) Equity (15%), Customer Escrow Balances (6%) and other Borrowed Funds (2% from 3% in FY-2021). The reduction in Borrowed Funds reflects the Group's robust FCY liquidity position which was used to repay all matured FCY obligations (IFC & Proparco) during the course of FY-2022. With improved funding from Naira Deposits, the total Sterilised Deposit with the CBN as at FY-2022 closed N1.624trn with CRR accounting for 65% (-N1.014trn), Special Bills -34.5% (N561bn) and SIR - 3% (N49.2bn). Customer Deposit Liabilities grew by 11.8% (#472.8bn) from #4.012tn in FY 2021 to #4.49tn in FY-2022 as low-cost funds grew by 14.5% (#503bn) from #3.438tn in FY 2021 to #3.941tn in FY-2022, resulting in low-cost deposit mix of 87.9% from 85.7% in FY 2021. The Group was able to pull through intense competition from FinTechs and Tier 2 Banks with strong execution of its Retail strategy, which led to reduced reliance on Tenored deposits which dipped by 4.8% to 544.5bn. In spite of the challenges in the operating environment and its attendant negative implication on the activities of individuals, households and businesses, the Group posted a Pre-tax Return on Average Assets of 3.6% and a Pre-tax Return on Average Equity of 23.6%. Loans, Deposits & Total Assets (N'Bn) 5,436 1,252 3,287 2,640 2,357 1,502 3,759 3,611 4,945 4,130 1,803 1,886 1,663 4.610 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Total Loans and Advances Total Deposits Total Assets Funding Mix ('Bn) 931 883 351 814 356 576 179 687 163 6,446 4,610 4,130 3.611 2,640 2.357 Dec-18 Total Deposits Dec-19 Dec-20 Dec-21 Dec-22 Debt Securities & Other Borrowed Funds Customer Escrow Balances Equity Components of Asset Base (N'Bn) 23% 1,505 26 % 2% 1,389 29% 1,426 1,306 2% 20% 768 20% 60 1% 1,206 22% 543 11 20% 0% 2% 1,042 21% 1.621 822 593 22% 25% 934 29% 746 15% 17% 594 16% 677 21% 29% 1,502 40% 1,663 34% 1,803 33% 1,886 1,252 40% Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Net Loans Cash & Equivalents Investment Securities Financial assets held for trading Other Assets 16#17FY 2022 Group Income Statement Snapshot (N'Billions) 20% Gross Earnings 539.2 FY 2022 447.8 FY 2021 (3%) Profit Before Tax 214.2 FY 2022 221.5 FY 2021 Non-Interest Income 213.8 Interest Income 325.4 FY 2022 FY 2022 18% 22% 180.9 FY 2021 Interest Expense 26.4 FY 2022 19.0 FY 2021 266.9 FY 2021 (3%) Profit After Tax 169.2 FY 2022 174.8 FY 2021 Operating Income 448.0 FY 2022 17% 384.5 FY 2021 Operating Expense 99.5 FY 2022 22% FY 2021 89.3 Loan Impairment 12.0 FY 2022 8.5 FY 2021 17#18Income Statement - Group Group In thousands of Nigerian Naira Gross Earnings Interest income calculated using effective interest rate Interest income on financial assets at fair value through Profit or loss Interest expense Net interest income Loan impairment charges Net interest income after loan impairment charges Fee and commission income Fee and commission expense Dec-22 539,234,897 295,122,190 30,277,472 (66,096,535) 259,303,127 (11,986,545) 247,316,582 Dec-21 % Change 447,810,585 20% 251,466,260 17% 15,427,483 96% (46,281,121) 43% 220,612,622 18% (8,531,155) 41% 212,081,467 17% 90,612,848 74,123,774 22% (13,155,560) (8,472,981) 55% Net fee and commission income 77,457,288 65,650,793 18% Net gains on financial instruments classified as held for trading 40,282,341 29,646,010 36% Other income 82,940,046 77,147,058 8% Net impairment reversal/(loss) on financial assets (35,944,565) (760,795) 4625% Personnel expenses (36,076,627) (33,430,007) 8% Depreciation and amortization (35,467,168) (35,300,097) 0% Other operating expenses Profit before income tax Income tax expense Profit for the year (126,353,803) (93,536,753) 35% 214,154,094 (44,980,657) 169,173,437 221,497,676 -3% (46,658,189) -4% 174,839,487 -3% 18#19PBT Trend The Group's Gross Earnings increased by 20.4% to #539.2bn in FY-2022 from #447.8bn in FY-2021 driven by the growth recorded on the Funded and Non-Funded Income lines. Interest earnings grew by 21.9% from the twin impact of growth in Earnings Asset volume and yield (8.53% in FY-2022 from 8.05% in FY-2021). Growth in volumes by #444.0bn (#2.879tn vs #2.435tn) underpinned by improved funding. The 21.9% growth in Interest Income (#325.4bn vs #266.9bn) was further complemented by the 18.2% growth posted on Non-Funded Income (#213.8bn vs #180.9bn). Non-Funded Income (NFI) comprising Fees and Commission Income (42.4% growth), Other Income (38.8% growth), and Trading Income (18.8% growth). ■ Net Interest Income is up y-o-y by 17.5% (#259.3bn vs #220.6bn) as the 21.9% increase recorded on the interest income line easily offset the 42.8% increase in Interest Expense (#66.1bn vs #46.3bn). The growth in Interest Expense was driven by the 71.0% increase in interest paid on time deposits (#27.6bn vs #16.1bn), as customers demanded more interest on their deposits. The growth in interest Expense also led to an increase in the cost of funds from 0.88% in FY-2021 to 1.24% in FY-2022. Rising Inflation and an increase in MPR by the Central Bank contributed significantly to the pick-up in the cost profile. Loan Impairment charge increased by 41% to 11.985bn in FY-2022 from #8.531bn in FY-2021 due to an increase in the probability of default generated by the predictive ECL impairment model from the macroeconomic data inputs, necessitating a need for an increase in the allowance for impairment in spite of the level of risks reserves already in place and loan quality. The impairment recorded by the Group as a result of investment in Ghanaian Sovereign Securities has been discussed earlier in the presentation. . The combination of high Inflation and a devaluing currency led to an increase in operating cost, with significant increases in the amount expended on diesel, fuel, electricity tariffs, ground rate, coms exp., repairs and maintenance, aside from Increased regulatory cost in the form of Amcon Levy and NDIC (increase Amcon and NDIC levies calculated on the basis of growth in prior year's Total Assets plus Contingents and Deposit Liabilities). The growth in Opex by 21.6% outweighed the 16.5% increase in Operating Income leading to a pick up in Cost-to-Income ratio to 48.0% in FY-2022 from 42.3% in FY-2021. Overall, the Group benefited from the effective utilisation of its strategic, core and foundational capabilities; changing and adapting quickly to make the best use of opportunities and deal with challenges. However, its performance was significantly hindered by the #35.6bn Impairment on the Ghanaian Sovereign Securities leading to a 3% drop in FY-2022 PBT to #214.2bn from #221.5bn in FY-2021. As the Financial Holding Company continues to gain traction, we expect the revenue streams to become stronger and further diversified to withstand further stresses. We also expect income from Non-Banking Subsidiaries (i.e., Payments, PFA, and Asset Management) to strengthen and account for 2-3% of the Group's performance by FY-2024. PBT (#'Bn) 215.59 231.71 238.1 221.5 214.2 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Return on Average Assets & Equity 30.90% 31.16% 26.83% 20.60% 18.65% 5.56% 5.59% 4.63% 3.37% 2.85% Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 ROAA ROAE * Pre-tax profit expressed due to impact of Finance Act and expiration of CIT Exemption Order 2011 on tax 19#20Revenue Generation Revenue continued to improve as Gross earnings which comprise Funded Income (FI) and Non-Funded Income (NFI) increased by 20.4% from #447.8bn in FY-2021 to #539.2bn in FY-2022. Growth of 18.2% in Earning Assets volumes coupled with improvement in yields on Fixed Income Securities (FY-2022: 5.0% vs FY-2021: 4.5%) and Loans and Advances (FY-2022: 11.8% vs FY-2021: 10.5%) led to a 21.9% growth in Interest Income to #347.20bn in FY-2022 from #266.9bn in FY-2021. Consequently, Funded Income contribution to Gross earnings grew to 60.3% in FY-2022 from 59.6% in FY-2021. Non-Funded Income (NFI) grew by 18.2% to #213.8bn in FY-2022 from #180.9bn in FY-2022 based on an increase in Fees and Commission Income, Net Trading Income and Other Income by 22.2%, 35.9% and 7.5% respectively. Fees and Commission performance were helped by significant increases in fee-based transaction volumes and E-Banking volumes, translating to growth in earnings posted on Account Maintenance Charges of #2.66bn to #19.4bn in FY-2022, Account Services of #3.96bn to #13.4bn, E-Business Income of N1.88bn to #25.45bn and Credit-Related Fees of N1.59bn to #7.64bn in FY-2022 respectively. Other Income growth resulted from FX revaluation & derivative gains in the sums of #34.5bn and #14.7bn largely. FX revaluation gains as a result of depreciation in Naira against USD in the I&E Window- #461.5/$1 vs #435/$1) between the two relevant periods and the Forward Rates applied while revaluing the Bank's US$1.3bn net long position (inclusive of Other 3rd currencies) and, derivative gains from its US$563mm swap position. Interest Income (#'Bn) 224.7 190.8 195.0 181.6 185.5 110.4 104.5 103.7 11.6 10.9 4.8 4.2 85.8 67.7 14.9 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Placement Investment Securities Loans and Advances Revenue Mix (N'Bn) 307.0 296.2 300.7 266.9 325.4 Non-Interest Income (\'Bn) 62.4 213.8 55.8 180.9 50.8 52.4 154.5 139.1 127.7 Dec-18 Dec-19 84.4 76.8 53.2 90.6 82.9 74.1 24.6 24.5 22.4 20.9 40.3 Dec-18 Dec 19 Dec-20 Dec-21 Dec-22 Dec-21 Dec-22 Other Income Net Gains Fee and Commission Dec-20 Interest Income Non interest income 20 20#21Margin Metrics Sustained Competitive Margins NIM is still under pressure at 6.68% in FY-2022 against 6.74% recorded in FY-2021 due to an increase in the cost of funds which outpaced the marginal increase in assets yield. Net Interest Margin 9.23% 9.28% . Total Asset Yield was at 8.53% in FY-2022, an increase of 48bps on 8.05% recorded in FY-2021. The Group continues to implement its well-articulated retail strategy by leveraging its strategic capabilities and playing to the strength of the GTCO brand. Cost of Funds (COF) increased by 34bps from 0.9% in FY-2021 to 1.24% in FY-2022) due to an upward review of the MPR rate which is the primary driver of interest paid of Savings deposits and intense competition for funds among competing entities within the Financial Services Industry. The Group recorded a marginal improvement in its low-cost deposit mix to 87.9% in FY-2022 from 85.7% in FY-2021. ⚫ The Group will continue to seek alternative yield optimization opportunities by consolidating its Holding Company Structure. Dec-18 Yields on Interest Earning Assets 14.26% 12.33% 11.06% 8.53% 8.05% 9.26% 6.74% 6.68% Dec-19 Dec-20 Dec-21 Dec-22 Cost of Funds 3.00% 2.30% 1.19% 1.24% 0.88% Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 2 21#22Efficient Cost Management • OPEX grew by 21.6% from #161.72bn in FY-2021 to 196.59bn in FY-2022 due to the impact of rising inflation and exchange rate movement at both the official & parallel markets which precipitated an increase in consumer price index (CPI). . OPEX growth of 21.6% was at par with headline inflation which closed at 21.34% in December 2022. Operating cost was significantly impacted by increased Regulatory Costs at the Bank level-17.6% growth in Deposit Insurance Premium and 6.4% growth in AMCON Expenses. 42.8% growth in Interest Expense was primarily driven by the increase in Cost of Funds from 0.9% in FY-2021 to 1.28% in FY-2022 on account of demand for higher interest rates by depositors, in view of rising inflation. The Group made cost savings from the opportunity cost on the Interest saved on FCY borrowings due to full repayment of the Group's FCY borrowings. Overall, the Group was able to keep its Cost to Income Ratio (CIR) at a 48.03% level higher than its guidance of 35%. The Group remains committed to effectively managing its cost in the face of inflationary and revenue pressures in order to be within the guidance for FY 2023 guidance. Cost to Income Ratio (CIR) 48.03 42.28 38.24 37.09 36.11 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Overview of Expenses (#'Bn) 162.27 147.44 127.13 128.86 84.53 1.90 Dec-18 64.84 4.91 2.98 47.07 46.28 19.57 4.91 6.24 8.47 Dec-19 Dec-20 Interest Expense Fee & Commission Expense 196.59 Operating Expenses (OPEX) (#'Bn) 36.07 9.16 33.40 37.60 5.01 37.28 2.11 126.35 2.11 93.54 78.68 68.88 36.861 66.10 2.09 7.06 17.63 22.69 13.16 8.53 11.99 Dec-18 Dec-19 Dec-21 Dec-22 Operating Expense Loan Impairment 35.30 35.46 29.05 Dec-20 Dec-21 Dec-22 Depreciation and Amortization Operating Lease Expenses/Right to use Other Operating Expenses Personnel Expense 22 22#23OPEX In billions of Naira Depreciation and Amortization AMCON Expenses Occupancy Costs and Repairs & Maintenance Deposit Insurance Premium General welfare Expenses Customer Service Related Expenses Communication, Tech. related & Admin. Expenses Advert, Promotion and Corporate Gifts Personnel Expense OPEX Drivers Group FY 2022 Group FY 2021 Change (Y-o-Y) % Change (Y-o-Y) 35.27 35.26 0.1 0.0% 23.29 21.89 1.40 6% 9.12 5.01 4.15 83% 14.40 12.24 2.16 17.6% 11.51 6.54 4.97 76% 4.07 1.74 2.33 133.7% 30.9 18.5 12.4 67% 7.25 5.84 1.41 24% 36.08 33.43 2.65 8% The Group recorded a 21.6% increase in OPEX from #161.72bn in FY-2021 to #196.59bn in FY-2022, with non-controllable cost mix improving to 54.3% of the total Operating Expenses recorded in FY-2022- from 63.4% in FY-2021. The key Opex growth drivers are as follows: a. Increase in regulatory charges i.e., AMCON Levy and Deposit Insurance Premium. AMCON levy increased by 6.4% to N23.29bn from N21.89bn due to growth in the underlying Total Asset and Contingents Base at the Bank level to N4.66tn in FY 2021 from N4.37tn in FY 2020 (AMCON levy is computed as 0.5% on preceding year's Total Asset and Contingents base). Also, Deposit Insurance premium increased by 17.6% (N14.23bn in FY-2022 vs N12.1bn in FY-2021) due to a 14.3% increase in underlying Customers' Deposits volume to N4.01tn in FY- 2021 from N3.51tn in FY 2020 (Deposit Insurance Premium is calculated on preceding year's Customers' Deposits). b. 83% growth in Occupancy Costs, Repairs & Maintenance and Advert and promotions from a cumulative total of #9.12bn in FY-2022 vs #5.01bn in FY-2021 resulting from the increase in expenses relating to Diesel, Fuel and general maintenance as well ground rates and water rates. c. 39.3% growth in Administrative Expenses at the Bank level was due to the impact of rising inflation, increased operational cost and the translation impact of Subsidiaries' OPEX balances to Naira on the weaker Naira/US$ conversion. 23#24Risk Asset Mix The Group maintained a well-distributed Loan book with a continuous focus on quality across all target markets and select business segments. Exposure to Midstream Oil & Gas Sector was reduced from 14% to 9% was a result of scheduled repayments by obligors in this sector. Additional drawdowns on Anchor Borrower's Funds (Intervention Loans) translated to an increase in Agriculture sector contribution from 1% to 8%. Growth in Retail loans was 1%. Exchange rate movement from N435/$1 in Fy-2021 to N461.5/$1 in FY-2022 led to an increase of the contribution from the Oil and Gas sector to 30% from 28%. The Group continues to make conscious efforts to reduce the concentration risk. 81.6% of the exposures in the Oil & Gas sector are USD denominated and in the Upstream Oil and Gas. Total restructured loans stood at #280.5bn, constituting 16.9% of the Gross Loan portfolio. Of the total restructured loans, 86.6% relate to two (2) Obligors - Aiteo and WEMPCO. All restructured loans have been classified appropriately as Stage 2 Facilities. Gross Loans by Industry Upstream Oil and Gas December 31, 2022 30% 14% Manufacturing Midstream Oil and Gas Individual 9% 13% Information, Telecoms. and Transport. 8% Government 4% Others* 5% Agriculture 8% Capital Market and Fin. Institutions 3% General Commerce 4% Construction and Real Estate 1% Downstream Oil and Gas Education 2% 0.3% * Includes Fashion & Design, Religious Organizations, Hospitality, Clubs, co-operative societies, Unions, Engineering services, etc. December 31, 2021 28% 14% 14% 12% 8% 4% 5% 7% 3% 2% 2% 0.5% 0.5% 24#25Asset Quality The Group's IFRS 9 Stage 3 loans closed at 5.2% in FY-2022 from 6.0% in FY 2021. With Retail and Others emerged as Sectors with the highest NPL - 22.1% and 20.5%. IFRS 9 Stage 3 Loans improved to N102.8bn in FY-2022 from N113.9bn in FY-2021, primarily driven by the deleveraging of Ghana and Kenya's Loan books via the realization of pledged collaterals. IFRS 9 Balance Sheet Impairment Allowance for Stage 3/Lifetime Credit Impaired exposures closed at N54.9bn representing 53.4% coverage of Loans in this classification. In aggregate terms (including Regulatory Risk Reserves of N93.9bn), the Group has adequate coverage of 175.5% for its IFRS 9 Stage 3 loans /NPLs. This position is consistent with the Group's plan to maintain 100% coverage of its NPLs. NPL and Coverage 119.60% 0.34% 105.10% 126.40% 150.40% 175.50% 7.30% 6.53% 6.39% 6.04% 5.19% 0.34% | | | 1.18% 0.50% 0.50% NPL by Industry Others OIL - MIDSTREAM OIL DOWNSTREAM Manufacturing 20.50% 27.40% 8.60% 10.45% 10.76% 8.60% 7.24% 6.10% Info. Telecoms & Transport. 3.76% 3.40% Individual General Commerce 22.10% 21.20% 13.60% 11.30% Education Construction & Real Estate 1.77% 1.50% 8:87% Capital Market & Fin. Institution Agriculture 0.68% 0.50% 0.47% 2.80% Dec-18 Dec-19 Dec-20 Cost of Risk ■NPL/Loans NPL by Currency 89% 11% FY 2022 FY 2021 * Includes Engineering services, Fashion & Design, Religious Organizations, Hospitality, Clubs, co-operative societies, Unions, etc. - FCY - LCY Dec-21 Dec-22 Coverage ratio 25#26Strong Capital Ratios - Group and Parent The Group maintained strong capital positions with a Full IFRS 9 impact Capital Adequacy Ratio (CAR) of 24.1%, 910bps above the regulatory minimum of 15%. Tier 1 capital remained a significant component of the Group's CAR at 23.8% representing 98.8% of the Group's CAR of 24.1%. The robust capital position provides the Group with the needed headroom for future expansion and risk-taking. The Group's Capital has been sensitized for Basel III compliance and three levels of devaluation of Naira to USD N550-N600-N650/$1 and found robust enough to meet the requirements of additional capital buffers - conservation and counter-cyclical under Basel III and expected growth in the Risk weighted value of the FCY component of the Group's Balance sheet. Capital Adequacy Ratio (Basel II) (%) 25.58% 23.39% 22.51% 25.90% 24.56% 23.83% Capital Adequacy Computation (Basel II) Group In Millions of Naira Transitional IFRS 9 Impact Full IFRS 9 Impact Dec. 22 Net Tier 1 Capital Net Tier 2 Capital Total Regulatory Capital 790,005 7,717 797,722 Dec. 21 769,938 24,239 794,177 Dec. 22 790,005 7,717 797,722 Dec. 21 704,447 24,239 728,686 Risk Weighted Assets for: Credit Risk Operational Risk Market Risk 2,614,159 672,290 26,935 Aggregate Risk Weighted Assets 3,313,384 2,495,305 612,312 15,214 3,123,831 2,614,159 672,290 26,935 3,313,384 2,430,474 612,312 15,214 3,058,000 Capital Adequacy Ratio: Tier 1 Risk Weighted Tier 2 Risk Weighted 23.84% 0.08% Total Risk Weighted Capital Ratio 24.08% 24.65% 0.78% 25.42% 23.84% 0.23% 24.08% 23.03% 0.79% 23.83% * Transitional IFRS 9 Arrangement CAR Dec-17 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Regulatory Capital (Group) - Tier 1 & 2 (N'Bn) 554.2 CAGR 9.5% 727.4 797.7 728.7 Dec-19 Dec-20 Dec-21 Dec-22 26#27Liquidity Ratio Strong Liquidity Position •Liquidity ratio closed at 49.93% in FY 2022 (FY 2021: 38.26%), well above the regulatory minimum requirement of 30%. Liquidity Trend 48.52% 41.44% 49.33% 38.98% 38.30% 49.93% Dec-17 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 27#28Digital Banking Performance (USSD) " Continuous growth in the adoption of digital banking platforms both in transaction volume and value and over 2 million users on GTWorld and Mobile Banking The introduction of 2-factor authentication and the impact of the N6.98 flat fee on successful USSD transactions continued to weigh negatively on the volumes and values of transactions consummated using USSD, leading to behavioural change as customers switched to GTWorld to consummate their NIP and other e-payments. USSD Value (in billions of Naira) USSD Volume (in millions) 391.9 369.9 368.0 364.3 363.9 355.6 333.8 330.6 335.2 312.3 301.1 301.1 293.2 286.6 286.2 281.9 277.0 286.6 286.2 280.8 281.9 268.8 270.5 270.2 277.0 268.8 270.5 270.2 262.8 251.4 262.8 251.4 227.0 231.2 227.0 231.2 391.9 368.0 364.3 369.9 363.9 355.6 335.2 333.8 330.6 312.3 293.2 280.8 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2021 2022 2021 2022 Total Value in FY 2022: N3.21 trillion Total Value in FY 2021: N4.12 trillion % Growth (y-o-y): (22%) Total Volume in FY 2022: 972 million Total Volume in FY 2021: 966.9 million % Growth (y-o-y): 1% 28#29Digital Banking Performance (Mobile and Internet Banking) Increased adoption of electronic banking platforms with strong growth in both volume and value of Mobile Banking. 28% year-on-year growth in Mobile Banking value grew from N25.8 Mobile Banking Value (in trillions of Naira) 2.8 2.8 2.8 2.8 2.7 2.6 2.7 2.7 2.5 2.5 2.4 2.5 2.4 2.3 2.2 2.0 2.0 2.0 2.0 2.0 1.8 1.6 Mobile Banking Volume (in millions) 3.5 47.18.6 44.7 45.4 41.7 42.6 42.6 39.2 39.5 40.3 41.8 40.0 38.9 34.7 35.2 36.2 37.5 34.7 32.7 30.3 31.4 29.6 25.8 24.0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2021 2022 2021 2022 trillion in 2021 to N32.8 trillion in 2022 on the back of an 18% increase in volume from N414.1 million to N490.6 million from new users on the platforms. Total Value in FY 2022: N32.8 trillion Total Value in FY 2021: N25.6 trillion % Growth (y-o-y): 28% Internet Banking Value (in trillions of Naira) The decline in USSD and Internet Banking Volume indicates customers' continued preference for Mobile Banking channels. The value of Internet Banking transactions declined but remained strong at N2.62 trillion. 240.22 232.90 229.57 222.70 211.66 215.00 216.48 214.48 200.41 200.52 191.51 Total Volume in FY 2022: 490.6 million Total Volume in FY 2021: 414.1 million % Growth (y-o-y): 18% Internet Banking Volume (in millions) 1.04 1.00 0.94 0.95 0.91 1.02 0.94 0.91 0.93 0.79 0.81 0.82 0.72 0.74 0.71 0.69 0.71 0.72 0.71 0.71 0.67 0.69 243.67 0.89 0.90 252.9 256.9 238.0 230.4 220.4 230. 241.0 238.4 240.5 220.8 219.0 190.4 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2021 2022 2021 2022 Total Value in FY 2022: N2.62 trillion Total Value in FY 2021: N2.78 trillion % Growth (y-o-y): (6%) Total Volume in FY 2022: 8.8 million Total Volume in FY 2021:11.1 million % Growth (y-o-y): (20%) 29 29#30GTCO Banking Subsidiary Review Guaranty Trust Holding Company Plc | FY 2022 Investor Presentation#31Give your Business the Premium Touch With GTBusiness Premium, you can access exclusive benefits that give your business the right advantage. Reduced banking cost Access to personalised digital solutions ■Round the clock support and business advisory Visit gtbank.com to open an account For more enquiries contact 0809 999 2440 or [email protected] GTBusiness PREMIUM Proudly African, Truly International Banking Fund Managers.Pension Managers. Payments GTCO#32Business Segmentation (Banking Group) - Description Group) - FY 2022 Loans Institutional & Wholesale 9,369+ Customers N1,445.6 billion Loans Commercial 135,634+ Customers N99.9 billion Loans above N20 billion+ Turnover N739.6 billion Deposits Deposits PBT Large Corporates, Multinationals, Energy, Telecoms, Maritime, etc. 77.2% 16.7% 68.1% N141.8 billion PBT 78.1%* 24.8%* 63.3%** under N20 billion Turnover Tailor-made solutions and flexibility for middle-market companies 5.3% 8.6% 6.4% N378.2 billion Deposits N13.3 billion PBT 5.6%* 10.4%* 4.6%** under N5 billion Turnover Mid-sized enterprises between the commercial and SME segments 0.6% 3.0% 0.5% N1.0 billion PBT Business Banking SME Retail 191,128+ Customers N11.1 billion Loans 1.4 million+ Customers N+55.0 billion Loans 26.2 million+ Customers N190.1 billion Loans 237 Branches N132.2 billion Deposits under N1 billion Turnover N573.0 billion Deposits Retail-focused Customer base N2,570.6 billion Deposits 47 GTExpress Outlets Public Sector *FY 2021, FY 2022 11,363+ Customers Federal, state & local governments N73.9 billion Loans N/A* N/A%* N/A%** Caters to small, fledging and fairly structured businesses 2.9% 13.0% 1.0% N2.1 billion PBT 33 e-branches & Cash Centres 1.7%* 11.7%* 2.2%** Consumer Lending N49.0 billion PBT 10.1% 58.2% 23.6% 1,361 ATMs 10.7%* 52.7%* 28.9%** Ministries, Departments. & Agencies (MDAs) All segments of government 3.9% 0.5% 0.4% N23.4 billion Deposits NO.85 billion PBT 3.8%* 0.4%* 1.1%** 22 32#33Banking and Non-Banking Subsidiary Overview - FY 2022 Loans Total Deposit Millions of Naira Assets PBT FY 2022 FY 2021 % Change Cote D'Ivoire Gambia 104,688 72,334 45% FY 2022 14,317 FY 2021 % Change 15,666 -9% FY 2022 82,495 FY 2021 % Change FY 2022 FY 2021 % Change 56,836 45% 5,995 2,785 115% 82,455 85,857 -4% 11,060 8,213 35% 72,227 73,353 -2% 4,417 3,749 18% Ghana 383,836 370,830 4% 109,044 119,445 -9% 302,957 276,090 10% 10,235 33,842 -70% Liberia 109,692 74,288 48% 50,412 38,258 32% 95,795 61,502 56% 2,947 2,651 11% Sierra Leone 51,101 70,918 -28% 8,718 13,438 -35% 39,440 53,189 -26% 2,676 3,540 -24% Kenya Group 203,169 210,109 -3% 76,128 94,334 -19% 154,995 157,202 -1% 7,352 6,895 7% Tanzania 13,427 10,827 24% 4,413 3,747 18% 9,313 6,618 41% -132 -277 -53% Nigeria 5,208,577 4,357,033 20% 1,557,246 1,475,789 7% 3,551,299 3,236,260 10% 180,628 176,121 3% United Kingdom Habari Pay 350,031 4,071 287,667 22% 34,514 33,813 2% 320,648 267,308 20% -1,612 -1,158 -39% 3,625 12% 945 100% Fund Managers 68,885 100% 68,008 100% 286 100% Pension Managers 12,014 100% 797 100% *Grand Total 6,446,456 5,436,035 18.6% 1,885,853 1,802,702 5% 4,610,343 4,130,333 11.6% 214,154 221,498 -3.3% % Contribution of Subsidiaries to Group Loans Deposits PBT West Africa (ex. Nigeria) N193.6 billion Loans N592.9 billion Deposits N26.3 billion 10.3% 12.9% 12.3% PBT East Africa N80.5 billion Loans N164.3 billion Deposits N7.2 billion PBT 4.3% 3.6% 3.4% United Kingdom N34.5 billion Loans N320.6 billion Deposits N1.6 billion 1.8% 7.0% -0.8% PBT Non-Banking Subsidiaries *post elimination entries NO.00 billion N68.0 billion N2.03 billion 1.5% 0.0% Loans Deposits 0.9% PBT 33#34Regional Performance (Banking Subsidiaries - FY 2022) East Africa " West Africa (ex. Nigeria) UK " 32 branches FY 2022 Gross Earnings: N24.81 bn (FY 2021: N23.50 bn) FY 2022 PBT: N7.22 bn (FY 2021: N6.62bn) ROAE: 9.6% (FY 2021: 10.5%) 9.1% y-o-y 5.6% y-o-y " 80 branches, 1 e-branch " FY 2022 Gross Earnings: N102.14 bn (FY 2021: N 87.83bn) 16.3% y-o-y " FY 2022 PBT: N26.27 bn (FY 2021: N46.57 bn) 43.6% y-o-y " ROAE: 15.3% (FY 2021: 25.7%) 1 branch FY 2022 Gross Earnings: N10.33 bn (FY 2021: N4.76 bn) 117.1% y-o-y FY 2022 PBT: (N1.61 bn) (FY 2021: (N1.16 bn)) 39.2% y-o-y ROAE: (9.4%) (FY 2021: (6.3%)) 34#35GTCO Non-Banking Subsidiaries Review Guaranty Trust Holding Company Plc | FY 2022 Investor Presentation#36Pay with a Tap GTBank #2,500 Payment Purchase 2222 mastercard squad by HabariPay Tap your card on the phone to pay Get Started www.squadco.com Proudly African, Truly International Banking Fund Managers Pension Managers Payments#37HabariPay (Squad) squad by HabariPay Business: Payments Licenses: Switching & Processing (CBN), VAS (NCC) Started Operations: Jun-22 Location: Lagos Employees: 46 Target Segments: Micro merchants; SMEs; Large Corporates; Techstars Start-up Capital: N3.1bn Revenue (Dec-22 YTD, 6 months): N1.52Bn* PBT (Dec-22 YTD, 6 months): N926mm* Key milestones: Profitable from month 1 Crossed N200bn in monthly transactions in Jan-23 Key Products P SquadPOS enables merchants to accept card payments with the NFC-enabled mobile devices squad Card Bank U300 boo 0000 0000 0000 GRO DIFFY SITE MMYY Pay NON.000.no al.com 2,000.00 Squad Gateway enables merchant websites to accept card (local and international), USSD and transfer payments Virtual Account 0741427669 Is your dedicated GTB Virtual Account for your business Squad Virtual Account provides a dedicated virtual account number for fast and easy transfers, with instant confirmations Merchant Acquiring Transaction Growth (Value) Gateway & Switching: N139.3bn (avg. 1,398% monthly growth rate) International Payments: $175,927 (avg. 3,187% monthly growth rate) Squad Switching enables swift and efficient transaction processing across partner institutions #49,551.9 mm $31,285 $25,512 N4.3 mm N19.1 mm N69.8 #136.4 mm N678.0 mm $4,610 $2 $344 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 $21,138 Habari Pay merchant A 0 000 Value Added Services includes USSD payment services, airtime vending, network transaction notification services N88,824.6 mm $93,036 Dec-22 *Figures shown are unaudited. Gateway & Int'l Payment Switching 37#38Let Your Money Work For You To start investing, visit www.gtfundmanagers.com Proudly African, Truly International Banking Fund Managers Pension Managers Payments GTCO Guaranty Trust Fund Managers Ltd#39Guaranty Trust Fund Managers GTCO Guaranty Trust Fund Managers Ltd Business: Asset Management Licenses: Asset / Portfolio Management and Investment Advisory Services (SEC) Acquired: Feb-22 Locations: Lagos, Abuja, Port Harcourt Employees: 44 Target Segments: Retail, Platinum, HNI, Corporates Revenue (FY-22 YTD): N3.2bn PBT (FY-22 YTD): N275.02mm Milestones: Crossed N100 bn in AUM in 9 months (from acquisition) Q3-22 PBT of N161.9mm, as against a loss of N153.2mm recorded in the same period in 2021 (pre-acquisition) Key Products TREASURY BILLS 34.42% FIXED DEPOSIT CASH 14.03% Fund Compos 26.49% 1.03% 72.48% Money Market Fund: Guaranteed Income Equity Income Fund: comprises money market instruments and short-term debt securities (CPS, T-Bills etc.). Fund: a well-diversified portfolio of primarily fixed income securities and some equities. Monthly AUM Growth comprised of fundamental stocks listed on the Nigerian Exchange Group (NGX) with good dividend yields. Balanced Fund: a well blended portfolio of equities, fixed income, and money market securities. Fund Comp 0.08% 14.15% 85.78% CASH Dollar Fund: a diversified portfolio Segregated Portfolio: discretionary portfolio offered in both USD and NGN to investors risk-adjusted returns. in quality Eurobonds looking for higher and Nigerian USD denominated Money Market instruments. N107.9 bn N108.3 bn #88.6 bn #89.1 bn 2022: N80.2bn growth (285%) in AUM N74.0 bn N36.1 bn N36.8 bn N39.0 bn N41.9 bn N43.9 bn N28.1 bn Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 39#40GTCO Guaranty Trust Pension Managers Ltd See Pension Differently Proudly African, Truly International Banking Fund Managers Pension Managers Payments#41Guaranty Trust Pension Managers GTCO Guaranty Trust Pension Managers Business: Pension Fund Managers Licenses: Pension Fund Administrator (PENCOM) Acquired: Feb-22 Locations: Lagos, Abuja, Port Harcourt, Kano, Kaduna. Employees: 65 Target Segments: Public, Private, HNIs, and Approved Existing Schemes (AES). Revenue (FY-22): N882mm PBT (FY-22): N446mm Milestones: 1,184% growth in PBT from N34.8mm recorded in the same period in 2021 (pre-acquisition) Key Products Retirement Savings Account (RSA): An RSA is an account opened by a PFA on behalf of an eligible RSA owner for the purpose of remitting retirement contributions. Contributions to RSAS for employees is usually 18% of an employee's basic, housing & transport allowances. (10% for employers, 8% for employees) Additional Voluntary Contribution (AVC): These are voluntary contributions that can be made together with the mandatory contributions remitted by an employer at the instance of an employee to augment the RSA balance. Monthly AUM Growth Approved Existing Scheme (AES): These are benefit schemes for employees of private sector and self-funding public organizations, that had pension schemes existing prior to the commencement of the Contributory Pension Scheme. Additional Exit Benefit Scheme (AEBS): An asset management service between an organization and a licensed PFA to manage funds contributed by employees of that organization towards their retirement. Micro-pensions: pension product targeted at self-employed individuals, as well as those in the informal sector who are not covered by private or government employers. N59.6 bn N58.5 bn N57.3 bn N53.5 bn N54.0 bn N54.3 bn N51.8 bn N51.9 bn N52.3 bn N50.3 bn #50.4 bn 2022: N10.8bn growth (22%) in AUM Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22 Nov-22 Dec-22 41#42CUSTOMERS 30mm+ Customers 5,192 Employees. 350 International Branch Network 16 e-branches / GT Express Locations 31,236+ Active POS Terminals EMPLOYEES 53% 47% Male Female Non-Financial Highlights for FY 2022 COMMUNITIES 2022 NPA Lagos International Polo Tournament 1,322 Automated Teller Machines 33 Agent Locations and Cash Centres GTWorld 2mm + Active Users BANK °737° 6mm+ Active Users 7.2mm + Active cards SHAREHOLDERS ●MOMOMOMONO 97% of employee 332,529 595 Kobo received training in 2022 Shareholders EPS 2nd Most capitalized financial services company with best-in-class returns RATINGS GTCO PIC Fitch Ratings B S&P Global Ratings B- Fostering Cooperation Through Sports Promoting Enterprise Over 1 mm attendees each year Annual Autism Conference 2022 2022 Financial Literary Day 14 Masterclasses GTCO 150+ free retail spaces 5000+ athletes from 75 accredited schools participated in the 26th edition of the Nigerian Universities Games held in Unilag GTCO FSHN WKND THEME: CREATING A COMMUNITY OF AWE-TISM Advocates 8,814+ YouTube views 1,312+ DRINK 12 x 12 Masterclasses & Runway Shows 135+ free retail spaces Participants 1,905+ Online Registrations. 413+ Students benefitted from the initiative 21+ Volunteers 3 states visited (Osun, Plateau and Kwara States) AWARDS & RECOGNITION EUROMONEY CSR ✓Corporate Banking MARKET LEADERS SME Banking Digital Solutions ESG WORLD FINANCE AWARDS 20 22 Best Banking Group- Nigeria Most Innovative Bank Nigeria Banker of the Year (Africa) Segun Agbaje brand AFRICA 2022 Most Admired Financial Services Brand Africa, West Africa & Nigeria Most Admired Nigerian Financial Services Brand Africa Brand Leadership Excellence (Segun Agbaje) WORLD BUSINESS OUTLOOK Leading Digital Bank in Nigeria Most Socially Responsible Bank Outstanding Contribution to Banking Sector Segun Agbaje 42 42#43Our Geographical Presence GTBank Ltd. 100% owned by GTCO • Established in 1990 ⚫ 237 branches, 16 e-branches, 14 cash centres & 47 GTExpress locations ⚫ N138.19 bn invested by GTCO • FY 2022 PBT: N180.63 bn ⚫ ROE: 10.8% Habari Pay Established in Aug. 2021 100% owned by GTCO ⚫1 business location ⚫N3.10bn invested by GTCO FY 2022 PBT: N945 mn ⚫ ROE: 21.3% United Kingdom Established in 2008 • 100% owned by GTBank Ltd. ⚫ 1 branch ⚫ N9.60bn invested by GTBank Ltd. • FY 2022 PBT: (N1.6 bn) • ROE: (3.8%) Liberia • Established in 2009 • 99.43% owned by GTBank Ltd. ⚫ 10 branches ⚫ N1.95bn invested by GTBank Ltd. FY 2022 PBT: N2.95 bn • ROE: 7.7% Cote D'Ivoire Established in 2012 • 100% owned by GTBank Ltd. ⚫ 4 branches ⚫ N5.99bn invested by GTBank Ltd. •HY 2022 PBT: N2.78 bn • ROE: 23.4% GT Fund Managers • Established in Feb. 2022 100% owned by GTCO • 3 business locations ⚫ N4.04bn invested by GTCO • FY 2022 PBT: N286 bn • ROE: 35.3% Sierra Leone • Established in 2002 • 83.74% owned by GTBank Ltd. ⚫ 16 branches • N594.11m invested by GTBank Ltd. • FY 2022 PBT: N2.68 bn • ROE: (9.4%) GT Pension Manage • Established in Feb. 2022 100% owned by GTCO ⚫13 business locations ⚫N17.63bn invested by GTCO • FY 2022 PBT: N797 bn • ROE: 6.7% Kenya Acquired in 2013 70% owned by GTBank Ltd. ⚫ 9 branches ⚫ N17.13bn invested by GTBank Ltd. •FY 2022 PBT: N7.35 bn ⚫ROE: 22.3% (Parent: 7.5%) Rwanda •Acquired in 2013 ⚫Subsidiary of GTB Kenya ⚫ 14 branches • ROE: 10.6% Gambia • Established in 2002 • 77.81% owned by GTBank Ltd. • 15 branches & 1 e-branch • N574.28m invested by GTBank Ltd. •FY 2022 PBT: N4.42 bn • ROE: 35.4% Ghana Established in 2006 • 98.32% owned by GTBank Ltd. • 35 branches ⚫N18.14bn invested by GTBank Ltd. • FY 2022 PBT: N10.24 bn • ROE: 15.5% Uganda • Acquired in 2013 • Subsidiary of GTB Kenya ⚫ 8 branches ⚫ ROE: 11.6% Tanzania Established in Dec. 2017 • 76.2% owned by GTBank Ltd. ⚫ 1 branch • N3.84bn invested by GTBank Ltd. ⚫ FY 2022 PBT: (N132 mn) • ROE: 36.8% 43#44GTCO FY 2023 Guidance and Plans Guaranty Trust Holding Company Plc | FY 2022 Investor Presentation#45FY 2023 Guidance FY 2022 Guidance FY 2022 Actual FY 2023 Guidance N243.0 bn N214.2 bn N280.0 bn PBT Deposit Growth 25.0% 12.0% 25.0% Loan Growth 10.0% 5.0% 15.0% Coverage (with Reg. Risk Reserve) 100.0% 175.5% 150.0% Cost of Risk <1.0% 0.6% <1.0% NPL to Total Loans 6.00% 5.20% 4.9% Return on average Assets 5.0% 3.60%* 4.0% Return on average Equity 25.00% 23.61%* 25.00% Loans to Deposits 50.00% 39.81% 50.00% Liquidity Ratio 38.00% 49.93% 40.00% Capital Adequacy Ratio 23.00% 24.08% 23.00% Cost to Income Ratio 35.10% 48.03% 40.00% Net Interest Margin 8.0% 6.68% 7.0% Banking (Nigeria) Contribution to PBT 70.0% 84.3% 65.0% Banking (Ex-Nigeria) Contribution to PBT 28.0% 14.8% 33.0% Non-Banking Contribution to PBT 2.00% 0.90% 2.00% * Pre-tax profit expressed due to impact of Finance Act and expiration of CIT Exemption Order 2011 on tax 45 45#46Disclaimer This presentation is based on Guaranty Trust Holding Company Plc ("GTCO" or the "Group")'s audited consolidated financial results for the period ended December 31, 2022, prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board (IASB). The Group has also obtained certain information in this presentation from sources it believes to be reliable. Although GTCO has taken all reasonable care to ensure that such external information are accurate and correct, the Group makes no representation or warranty, express or implied, as to the accuracy, correctness or completeness of such information. Furthermore, GTCO makes no representation or warranty, express or implied, that its future operating, financial or other results will be consistent with results implied, directly or indirectly, by information contained herein or with GTCO's past operating, financial or other results. Any information herein is as of the date of this presentation and may change without notice. GTCO undertakes no obligation to update the information in this presentation. In addition, some of the information in this presentation may be condensed or incomplete, and this presentation may not contain all material information in respect of GTCO. This presentation may also contain "forward-looking statements" that relate to, among other things, GTCO's plans, objectives, goals, strategies, future operations and performance. Such forward-looking statements may be characterised using words such as "estimates," "aims," "expects," "projects," "believes," "intends," "plans," "may," "will" and "should" and other similar expressions which are not the exclusive means of identifying such statements. Such forward-looking statements involve known and unknown risks, uncertainties, and other important factors that could cause GTCO's operating, financial or other results to be materially different from the operating, financial or other results expressed or implied by such statements. Furthermore, GTCO makes no representation or warranty, express or implied, that the operating, financial or other results anticipated by such forward-looking statements will be achieved. Such forward-looking statements represent, in each case, only one of many possible scenarios and should not be viewed as the most likely or standard scenario. GTCO undertakes no obligation to update the forward-looking statements in this presentation. Guaranty Trust Holding Company Plc | FY 2022 Investor Presentation 46#47GTCO Thank You.