Societe Generale Ghana PLC reported a 56.4% decline in profit after tax for the quarter ended September 30, 2026, as lower interest income and weaker operating revenue weighed on its financial performance.

The Ghana Stock Exchange-listed lender posted profit after tax of GHC150 million ($12.92 million), compared with GHC344.3 million ($29.65 million) in the corresponding quarter of 2025, according to its unaudited financial results.

Profit before tax fell to GHC232.1 million ($20 million) from GHC530 million ($45.59 million) a year earlier, while earnings per share declined to GHC0.28 ($0.02) from GHC0.65 ($0.05), reflecting the pressure on the bank’s profitability during the period.

Net interest income declines 32%

The bank’s net interest income fell to GHC624 million ($53.63 million) from GHC923.4 million ($79.41 million) in the third quarter of 2025, a 32.4% decline. Interest income fell to GHC750.4 million ($64.5 million) from GHC1.09 billion ($93.67 million), while interest expenses decreased to GHC126.4 million ($10.86 million) from GHC168.3 million ($14.47 million).

Net fees and commission income, however, rose to GHC84.4 million ($7.26 million) from GHC64.4 million ($5.54 million), supported by higher fees and commission income of GHC135.2 million ($11.63 million), up from GHC125.2 million ($10.77 million) a year earlier.

Net trading revenue declined to GHC59.7 million ($5.13 million) from GHC96.2 million ($8.27 million). Other operating income also weakened, with the bank recording GHC14.8 million ($1.27 million) in the latest quarter against an expense of GHC61 million ($5.25 million) in the corresponding 2025 period.

Consequently, total operating income fell to GHC797.1 million ($68.57 million) from GHC1.04 billion ($89.48 million), a decline of approximately 23%.

Impairment charges weigh on earnings

Net impairment charges on financial assets amounted to GHC27.2 million ($2.34 million), compared with an impairment gain of GHC33 million ($2.84 million) in the same period last year. This reversal further pressured earnings, reducing operating income after impairment charges to GHC769.9 million ($66.23 million) from GHC1.07 billion ($92.05 million).

Total operating expenses remained broadly stable at GHC537.8 million ($46.24 million), compared with GHC538.8 million ($46.33 million) a year earlier. Personnel expenses rose to GHC238.3 million ($20.49 million) from GHC201.3 million ($17.31 million), while depreciation and amortisation increased to GHC109.2 million ($9.39 million) from GHC92.7 million ($7.97 million).

Other operating expenses declined to GHC190.3 million ($16.36 million) from GHC244.7 million ($21.04 million), partly offsetting the increases in personnel and depreciation costs.

Assets and shareholders’ funds increase

Societe Generale Ghana’s total assets increased to GHC11.08 billion ($952.44 million) as of September 30, 2026, from GHC10.35 billion ($889.69 million) at the corresponding reporting date in 2025, representing growth of approximately 7.1%.

Total shareholders’ funds rose to GHC2.58 billion ($221.81 million) from GHC2.55 billion ($219.23 million). Retained earnings stood at GHC1.11 billion ($95.44 million), while the statutory reserve increased to GHC563.2 million ($48.42 million) from GHC537.9 million ($46.28 million).

Societe Generale Ghana reported a capital adequacy ratio of 18.52%, up from 17.90% in 2025. Its non-performing loan ratio rose to 13.98% from 13.51%, while the leverage ratio improved to 12.91% from 12.53%. The liquidity ratio declined to 100.43% from 109.68%.

Societe Generale Ghana reported no defaults in statutory liquidity requirements and no related sanctions during the period. Societe Generale Ghana is part of France-based Societe Generale Group and provides retail, corporate and investment banking services, alongside other financial intermediation activities across Ghana.