Guaranty Trust Holding Company Plc.
Audited Consolidated and Separate Financial Statements Together with Directors' and Auditor's Reports
June 2022
Introduction
Introduction
Guaranty Trust Holding Company and Subsidiary Companies
Guaranty Trust Holding Company Plc ("the Parent" or the "Company") and its Subsidiaries (hereafter referred to as 'the Group') Consolidated Financial Statements complies with the applicable legal Requirements of the Nigerian Securities and Exchange Commission regarding Annual Financial Statements and comprises Separate and Consolidated Financial Statements of the Group for the period ended 30 June 2022. The consolidated and separate financial statements have been prepared in accordance with International Financial Reporting Standards issued by the International Accounting Standards Board and adopted by the Financial Reporting Council of Nigeria. For better understanding, certain disclosures and some prior year figures have been presented in line with current year figures. Due to rounding, numbers presented throughout this document may not add up precisely to the totals provided and percentages may not precisely reflect the absolute figures.
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Introduction | Guaranty Trust Holding Company and Subsidiary Companies |
Table of contents | Page |
Corporate governance | 1-13 |
Subsidiary governance | 14-17 |
Sustainability report | 18-27 |
Complaints and feedback | 27-29 |
Anti-money laundering and combating terrorist financing framework | 30-34 |
Internal control and risk management systems | 35-36 |
Directors' report | 37-42 |
Statement of directors' responsibilities | 43 |
Report of the audit committee | 44 |
Corporate responsibility for financial statements | 45 |
Independent Auditor's Opinion | 46-51 |
Financial statements | 52 |
Consolidated and separate statements of financial position | 53-54 |
Consolidated and separate income statements | 55 |
Consolidated and separate statements of other comprehensive income | 56 |
Consolidated statement of changes in equity | 57-58 |
Statement of changes in equity company | 59 |
Consolidated and separate statements of cash flows | 60-61 |
Notes to the consolidated and separate financial statements: | |
Reporting entity | 62 |
Basis of preparation | 62-63 |
Significant accounting policies | 63-94 |
Financial risk management | 95-184 |
Capital management and other risks | 185-190 |
Use of estimates and judgements | 190-199 |
Operating segments | 200-208 |
Financial assets and liabilities | 209 |
Other notes to the financial statements | 210-277 |
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Introduction | Guaranty Trust Holding Company and Subsidiary Companies |
Contingencies | 277-278 |
Group entities | 279-280 |
Unconsolidated interests in structured entities | 281 |
Related parties | 282-287 |
Contraventions | 287 |
Subsequent events | 287 |
Other national disclosures/other information: | 288 |
Regulatory requirements under the IFRS regime | 289-294 |
Statement of prudential adjustment | 295-296 |
Operational risk management | 297-316 |
Activities of cards operations | 317-319 |
Other information | 320-325 |
Value-added statements | 326 |
Five-year financial summary | 327-328 |
Share capitalisation and dividend history | 329-330 |
Corporate social responsibility | 331-333 |
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Corporate Governance
Corporate Governance
Introduction
Guaranty Trust Holding Company and Subsidiary Companies
Guaranty Trust Holding Company Plc (GTCO) remains committed to its founding values which endeared the brand to millions of people across Africa and beyond, and which continues to drive financial success. As a Proudly African and Truly International brand, the Company will continue to live by these values of excellence, hard work and integrity, even as we create faster, cheaper, safer and more diverse products for people and businesses of varied types and sizes.
As a Company, we will continue to subject our operations to the highest standards of corporate governance, which is an essential foundation for sustainable corporate success. In view of globalization, digitalization and increased penetration of artificial intelligence in the World and specifically in the financial industry, the resolve to maintain good corporate governance principles is important to us. We are committed to upholding the creed and principles of good Corporate Governance in all our operations and implementing initiatives that will improve corporate governance for the benefit of all stakeholders.
The Company is publicly quoted on The Nigerian Exchange Limited with Global Depositary Receipts (GDRs) listed on the London Stock Exchange and we remain dedicated to our duties and pledge to safeguard and increase investor value through transparent corporate governance practices. Our Code of Corporate Governance provides a robust framework for the governance of the Board and the Company. The Company ensures compliance with the Code of Corporate Governance for Public Companies issued by the Securities and Exchange Commission ("the SEC Code"), the revised Code of Corporate Governance for Banks and Discount Houses in Nigeria issued by the Central Bank of Nigeria ("the CBN Code") in May 2014, the Financial Reporting Council's National Code of Corporate Governance, 2018 ("the FRC Code"), as well as disclosure requirements under the Disclosure and Transparency Rules of the Financial Conduct Authority (FCA), United Kingdom, which are applicable to non-United Kingdom companies with Global Depositary Receipts (GDRs) listed on the London Stock Exchange.
The Company's Code of Corporate Governance aligns with legal and regulatory requirements and global best practices, in order to remain a pace setter in the area of good corporate governance practices. In addition to the Code, the Company aggressively promotes its core values to its employees through its Code of Professional Conduct; its Ethics Policy as well as Communications Policy, which regulate employee relations with internal and external parties. This is a strong indicator of the Company's determination to ensure that its employees remain professional at all times in their business practices. The Company also has a culture of openness in which healthy discourse is encouraged and employees are mandated to report improper activities.
The Company's subsidiaries handle Banking, Payments, Pension Fund Administration and Asset Management. The Subsidiaries will be guided by established governance principles which are aligned to the Company's standards in addition to meeting the relevant regulatory requirements in their areas of operation. The subsidiaries have their own distinct boards and comply with the statutory and regulatory requirements of the businesses they operate. The subsidiaries operate under a corporate governance structure that enables their boards to balance their roles in performing their oversight and strategic functions in ensuring compliance with the regulatory requirements that apply in their areas of operation and the standards and acceptable risk tolerance parameters adopted by the Company. In this regard, the Subsidiaries are aligned with the corporate governance framework of the Company.
The Company complies with the requirements of the Central Bank of Nigeria ("CBN") in respect of internal review of its compliance status with defined corporate governance practices and submits reports on the Company's compliance status to the CBN. The Company also conducted an Annual Board and Directors' Evaluation and Appraisal covering all aspects of the Boards' structure, composition, responsibilities, processes and relationships, in compliance with the requirement of the CBN and FRC Codes. To conduct the Annual Board Evaluation and Appraisal for the financial year ended December 31, 2021, the Board engaged the consultancy
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Guaranty Trust Holding Company plc published this content on 05 September 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 05 September 2022 08:49:03 UTC.