GCB Bank PLC, Ghana’s largest indigenous bank, has posted a record Profit Before Tax (PBT) of GH¢3.17 billion for the 2025 financial year.

The profit outturn is a 67.4 percent increase from a year earlier, underpinned by robust deposit growth that fuelled strong loan book expansion, investments, and growing fee income.

Customer deposits grew 19.7 percent to GH¢41.3 billion, driving the 23 percent expansion in the Bank’s balance sheet to GH¢52.6 billion.

This deposit growth funded the 56.8 per cent year-on-year expansion of the loan book to GH¢16.39 billion as credit demand recovered alongside Ghana’s broader economic rebound.

As a result, operating income increased by 40.9 percent year-on-year to GH¢6.3 billion from increases in both interest and non-interest income.

Funded and Non-Funded Income recorded impressive growth.

Interest income grew 38.3 percent despite the sharp decline in interest rates.

The bank navigated the low-interest-rate environment through active balance sheet repricing, strategic asset allocation, and proactive risk management.

Non-funded income, i.e., revenue from fees, commissions, and trading, rather than lending, also rose 58 percent year-on-year.

Fees and commissions grew 39.9 percent while trading and other income surged 81.8 percent, lifting non-funded income’s share of total revenue to 27.3 percent from 24.3 percent in 2024.

The Bank flagged the increase in non-funded income as strategically important.

As Ghana’s Central Bank cuts rates, including a cumulative 1,000-basis-point reduction in the policy rate to 18 percent during 2025, traditional lending margins face sustained pressure. Transaction-based income, the bank revealed, will play an increasingly central role in protecting profitability.

Operating costs rose 41.1 percent, broadly in line with revenue growth, keeping the cost-to-income ratio flat at 47.2 percent.

The Non-Performing Loan (NPL) ratio, which is the share of borrowers behind on repayments, fell to 10.3 percent from 15.1 percent in 2024.

The cost of risk, a measure of provisions set aside against potential loan losses, declined to 1.3 percent from 4.3 percent, a reduction that directly contributed to the record profit.

The improvement was driven by tighter lending standards, stronger early-warning systems, improved loan recoveries, and greater borrower repayment capacity as Ghana’s economy stabilised.

The bank ended 2025 with a capital adequacy ratio of 18.0 percent, up from 17.5 percent in 2024 and well above the regulatory floor of 13 percent.

Cash and liquid assets stood at GH¢14.5 billion, equal to 27.5 per cent of total assets. Earnings Per Share (EPS) reached GH¢7.78 billion.

Shareholders, who held GCB stock throughout the year, saw the share price rise from GH¢6.37 to GH¢20.11, translating into a capital gain of 215.7 percent.

The results coincide with the first year of GCB Bank’s 2025–2028 medium-term strategy, which targets a structural shift away from a predominantly retail-funded model toward a more diversified platform spanning wholesale, commercial, and transaction banking.

The bank also launched several strategic initiatives during the year, including a comprehensive sustainability programme covering climate risk, diversity, and governance.

Other initiatives championed during the year included the flagship Sheagles Soar intervention, a female leadership development programme targeting 30 percent female representation at the Board and Management levels by 2028, and the Amber Club programme for the Bank’s top 100 customers.

Commenting on the financials, Farihan Alhassan, Managing Director of GCB Bank PLC, said, “The 2025 results were not accidental; they reflect steady leadership, deliberate strategic choices, and disciplined execution across the bank. By every measure, this represents a record performance and reinforces GCB Bank’s strong position within Ghana’s banking sector.”

Alhassan added that, “while the 2026 financial year presents a new challenge from significant margin compression as interest rates fall sharply, he believes the strategy is right, the team is right, and GCB Bank is well positioned to fully meet our clients’ aspirations, empower our people to succeed, and sustain the digital transformation.”