GTCO Financial Results
Asset Quality
The Group improved its asset quality with IFRS 9 Stage 3 loans closing at 6.04% in FY 2021 from 6.39% in FY
2020.
The marginal increase in prudential NPLs from 6.86% to 6.92% was as a result of stress noted with certain
exposures within the Hospitality, Individuals, Clubs, Co-operative Societies and Unions as the Obligors
within these sectors were severely impacted by Covid-19.
Downstream sector benefitted from the N7.2billion write-off in FY 2021 as its NPLs improved to 8.6% in FY
2021 from 11.0% in FY 2020.
IFRS 9 Stage 3 loans closed at N113.9bn as at FY 2021 increasing by 2.2% from N111.5bn in FY 2020. Balance
Sheet Impairment Allowance for Stage 3/Lifetime Credit Impaired exposures closed at N57.5bn
representing 50.5% coverage of Loans in this classification.
In aggregate terms (including Regulatory Risk Reserves of N87.6bn), the Group has adequate coverage of
150.4% for its Stage 3 names/NPLs, this position is consistent with the Group's plan to maintain 100%
coverage for its NPLs.
NPL by Industry
Others*
Individual
General Commerce
10.7%
11.3%
NPL and Coverage
119.6%
7.66%
105.1%
126.4%
128.7%
150.4%
7.30%
6.53%
6.39%
6.04%
JJJJJ
0.76%
Dec-17
1.18%
0.50%
0.34%
0.34%
Dec-18
Cost of Risk
NPL/Loans
27.8%
NPL by Currency
27.4%
19.5%
21.2%
Dec-19
Dec-20
Dec-21
Coverage ratio
15%
Construction & Real Estate
7.8%
8.6%
Midstream O&G
8.5%
8.6%
Downstream O&G
11.0%
8.6%
8.5%
Manufacturing
6.1%
85%
3.7%
Info. Telecoms & Transport.
3.4%
0.3%
Agriculture
2.8%
Education
1.5%
Capital Market & Fin. Institution
0.6%
0.5%
■FY 2020
■FY 2021
■ FCY
■LCY
* Includes Engineering services, Fashion & Design, Religious Organizations, Hospitality, Clubs, co-operative societies, Unions etc.View entire presentation