• Wednesday, February 21, 2024
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BusinessDay

GTCO’s HabariPay profit surges 300% in H1

GTCO boosts profit with N334bn from FX gain

HabariPay, the fintech subsidiary of Guaranty Trust Holding Company (GTCO), has reported a 300 percent rise in profit in the first half of 2023.

BusinessDay analysis of the recent financial report of the tier-one bank shows that HabariPay recorded a profit after tax of N1.3 billion in H1, compared to N322.9 million in the same period of 2022.

HabariPay’s growth shows promising adoption of the bank’s digital payments business as it looks to bolster its hold on the fintech sector, according to a statement.

“Through our Habari platform, our customers can shop for diverse products online, pay bills, watch videos, and listen to music, among others. We continue to improve the platform to meet and support the lifestyles of everyone,” it said.

Read also: ANALYSIS: Can GTBank replicate WorldPay in Africa with HabariPay?

A further breakdown of the report revealed that the fintech company’s operating income in the first six months increased by 400 percent N2.2 billion in H1 from N447 million in the same period of last year. Its operating expenses rose by 882 percent to N688 million from N70 million.

GTCO launched the fintech firm in 2018 as a super-app that provides everything from streaming content to an e-commerce marketplace. In June 2021, HabariPay was officially launched as the first mobile platform in Nigeria to be floated by a financial institution.

Read also: With Habari, GTBank vies for “everything” digital

Guaranty Trust Bank transitioned into a holding company from its standalone commercial banking structure. It made HabariPay a standalone business offering payments, a marketplace, and small business services.

HabariPay’s flagship product, Squad, combines a payment gateway and e-commerce platform with a Point-of-Sale business.

Earlier in the year, the company reported that its fintech company recorded a profit-after-tax of N836 million last year.