GTBank Business and Financial Performance slide image

GTBank Business and Financial Performance

Cost efficiency Continued focus on optimization ■ Cost to income ratio : 44:79% December 2013: 43.53% ■ Operating expense - - Operating expenses grew 13.85% from N82.64bn in 2013 to N94.08bn in 2014 Operating expense growth partly attributable to a 17.53% growth in AMCON levy which grew as a result of the growth in the Bank's Total Assets On-boarding of certain expenses from our newly acquired subsidiaries (including staff salaries) for our Kenyan group. In 2013, we bore only one month of such expenses, however in 2014, we incurred a full 12 months worth of such expenses Cost-to-Income Ratio 57.21% Dec-10 Cost/Income 52.94% 42.73% 43.53% 44.79% Dec-11 Dec-12 Dec-13 Dec-14 Operating expense breakdown (N'bn) 22.792.13 27.95 GTBank 30.99 28.22 27.44 26.14 22.63 23.76 21.62 22.37 22.41 22.25 22.55 Interest expense - - Interest expense grew 20.16% from N48.44bn to N58.21bn Increase in interest expense attributable to • an increase in MPR from 12% to 13%, which in turn increased regulated interest payment on deposits reduced market liquidity due to hikes in CRR, and the resultant increase in competition for deposits a 42.96% rise in interest paid on debt securities, largely due to the $400m 5yr Eurobond issued by GTBank in November 2013 Dec-10 16.93 3.20 Dec-11 9.52 8.10 3.98 Dec-12 AMCON Expenses ■G&A Other OpEx personnel Expense summary (N'bn) 44.23 3.20 Dec-13 Dec-14 94.08 82.64 76.59 69.83 61.86 Dec-10 58.21 48.44 39.61 27.98 1.84 Dec-11 Fee & Commission expense 1.59 1.82 2.11 Dec-12 Dec-13 Dec-14 16 Interest expense Operating expense
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