Greenwich Trustees 2021 Final Accounts (A)

Greenwich Trustees Limited 2021 2020

Formerly GTL Trustees Limited
(Registration number RC 180089)
Annual Report and Financial Statements for the year ended December 31, 2021

Notes to the Annual Report And Financial Statements

Figures in Naira thousand

18. Operating expenses (continued) 77,335 45,636
Technical and management fees 5,992 6,307
Telephone, postage and printing 6,886
Training costs 14,111 8,234
Transport and travelling 5,927
170,716
214,846

*External auditors SIAO, did not render any other services to the company during the year apart from the statutory
audit services.

19. Personnel expenses

Salaries and wages 53,142 58,272
Industrial training fund levy 726 2,997
Contribution to defined pension plan 6,685
Profit sharing (accrued) 5,425
24,225 17,967

83,518 85,921

The Company operates a funded defined contribution retirement benefit scheme for its employees under the provisions
of the Pension Reform Act 2014. Employees’ and the Company’s contributions to the scheme are 8% and 10%
respectively of each employee’s annual basic salary, transport and housing allowances.

Profit sharing scheme

As approved by the Board of Directors, 3% of audited profit after tax is to be recognised as profit sharing if the
company meets the 70% threshold of budgeted profit after tax. As at the end of the year, the company met and
surpassed the required performance threshold.

Average number of persons employed during the year 11
Managing director 23
Managerial staff 7 11
Senior staff 55
Junior staff
15 20

The table shows the number of employees (excluding directors) whose earnings during the year fell within the

ranges shown below:

N.0 - N.999,999 21

N.1,000,000 - N.2,000,000 66

N.2,000,001 - N.3,000,000 -6

N.3,000,001 - N.4,000,000 11

N.4,000,001 - N.5,000,000 23

N.5000,001 and above 43

15 20

Refer to note 25 for details of directors' emoluments.
20. Depreciation, amortisation and impairment losses
Depreciation

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Greenwich Trustees Limited 2021 2020

Formerly GTL Trustees Limited 9,141 8,874
(Registration number RC 180089)
Annual Report and Financial Statements for the year ended December 31, 2021 2,265 2,979

Notes to the Annual Report And Financial Statements 9,141 8,874
2,265 2,979
Figures in Naira thousand 11,406 11,853

20. Depreciation, amortisation and impairment losses (continued) 10,114 7,095
Property, plant and equipment
188,135 3,168
Amortisation 58 29
Intangible assets
16,585 4,802
Total depreciation, amortisation and impairment 204,778 7,999
Depreciation
Amortisation 21,559 63,579
226,337 71,578
21. Other non-operating gains (losses)
1,135,794 592,528
Fair value gains (losses) 340,738 177,758
(Gains on valuation of financial assets
29,141 136,969
22. Taxation (369,879) (178,965)

Income tax charge - (98,076)
- (37,687)
Current 188,135
Company income tax 16,585 3,169
NPTF tax 58 4,802
Education tax 21,559
29
Deferred 226,337 63,579
Deferred tax charges
71,578
Reconciliation of the tax expense

Reconciliation between accounting profit and tax expense.

Accounting profit

Tax at the applicable tax rate of 30% (2020: 30%)

Tax effect of adjustments on taxable income
Non deductible expenses
Effect of exempted income
Relieved loss utilised
Unrelieved capital allowance
Company income tax
Education tax
NPTF tax
Effect of deferred tax changes

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Greenwich Trustees Limited 2021 2020

Formerly GTL Trustees Limited
(Registration number RC 180089)
Annual Report and Financial Statements for the year ended December 31, 2021

Notes to the Annual Report And Financial Statements

Figures in Naira thousand

23. Contingent liabilities

As at 31 December 2021, the Company did not have any pending litigations against it which had not been duly
accounted for in the financial statements of the Company. Hence, no provisions for claims and litigations were made
during the year (2020: Nil).

24. Related parties

The Company enters into transactions with its related entities, and its key management personnel in the normal course
of business. The transactions with related parties are made at normal market prices and conducted at arm’s length.

Related party balances

In cash and cash equivalents 2,556 -
Greenwich Asset Management Limited 1,751,251 -
Greenwich Merchant Bank Limited

Amounts included in other receivables 760,445 760,445
Greenwich Registrars & Data Solutions Limited

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Greenwich Trustees Limited 2021 2020

Formerly GTL Trustees Limited
(Registration number RC 180089)
Annual Report and Financial Statements for the year ended December 31, 2021

Notes to the Annual Report And Financial Statements

Figures in Naira thousand

25. Directors' emoluments Emoluments Total
Executive
2021 8,295 8,295
Directors' emoluments 8,295 8,295
Services as director or prescribed officer
Managing Director Emoluments Total

2020 6,733 6,733
Directors' emoluments 6,733 6,733
Services as director or prescribed officer
Managing Director Fees and Other Total

Non-executive sitting compensatio
2021
Directors' emoluments allowance n

Services as director or prescribed officer 3,800 15,595 19,395
Non-executive Directors 3,800 15,595 19,395

2020 Fees and Other Total
Directors' emoluments
sitting compensatio
Services as director or prescribed officer
Non-executive Directors allowance n

10,310 15,096 25,406
10,310 15,096 25,406

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Greenwich Trustees Limited 2021 2020

Formerly GTL Trustees Limited
(Registration number RC 180089)
Annual Report and Financial Statements for the year ended December 31, 2021

Notes to the Annual Report And Financial Statements

Figures in Naira thousand

26. Events after the reporting period

There are no events after the reporting date which could have a material effect on the financial position of the company
as at December 2021 and on the profit attributable to equity holders which have not been adequately provided for or
disclosed in the financial statements.

27. Financial instruments and risk management

Categories of financial instruments

Categories of financial assets

2021

Investments at fair value Note(s) Fair value Amortised Total Fair value
Trade and other receivables through profit cost
Cash and cash equivalents or loss 4,057,460 4,057,460
- 1,023,542 1,007,219
7 4,057,460 1,023,542 11,549,714 11,549,714
9- 11,549,714 16,630,716 16,614,393
3-
12,573,256
4,057,460

2020 Note(s) Fair value Amortised Total Fair value
through profit cost
Investments at fair value or loss 3,954,821 3,954,821
Trade and other receivables - 927,854 914,868
Cash and cash equivalents 7 3,954,821 927,854 -
9- 12,271,192 12,271,192
3- 17,153,867 4,869,689
13,199,046
3,954,821

Capital risk management 11 13,529,485 14,721,641
12 411,640 407,429
Financial liabilities at fair value
Trade and other payables 13,941,125 15,129,070
Total borrowings
3 (11,545,811)(12,267,711)
Cash and cash equivalents 2,395,314 2,861,359
Net borrowings

Equity 3,534,986 3,099,197
Gearing ratio
68 % 92 %

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Greenwich Trustees Limited 2021 2020

Formerly GTL Trustees Limited
(Registration number RC 180089)
Annual Report and Financial Statements for the year ended December 31, 2021

Notes to the Annual Report And Financial Statements

Figures in Naira thousand

27. Financial instruments and risk management (continued)

Financial risk management

Overview

The company is exposed to the following risks from its use of financial instruments:
 Credit risk;
 Liquidity risk; and
 Market risk (currency risk, interest rate risk and price risk).

The board of directors has overall responsibility for the establishment and oversight of the company's risk management
framework. The board has established the risk committee, which is responsible for developing and monitoring the
company's risk management policies. The committee reports quarterly to the board of directors on its activities.

The company's risk management policies are established to identify and analyse the risks faced by the company, to set
appropriate risk limits and controls, and to monitor risks and adherence to limits. Risk management policies and
systems are reviewed regularly to reflect changes in market conditions and the company's activities.

The company audit committee oversees how management monitors compliance with the risk management policies and
procedures and reviews the adequacy of the risk management framework in relation to the risks faced by the company.
The audit committee is assisted in its oversight role by internal audit. Internal audit undertakes both regular and ad
hoc reviews of risk management controls and procedures, the results of which are reported to the audit committee and
the risk committee.

Credit risk

Credit risk is the risk of financial loss to the company if a customer or counterparty to a financial instrument fails to
meet its contractual obligations.

Credit risk for exposures other than those arising on cash and cash equivalents, are managed by making use of credit
approvals, limits and monitoring. The company only deals with reputable counterparties with consistent payment
histories. Sufficient collateral or guarantees are also obtained when necessary. Each counterparty is analysed
individually for creditworthiness before terms and conditions are offered. The analysis involves making use of
information submitted by the counterparties as well as external bureau data (where available). Counterparty credit
limits are in place and are reviewed and approved by credit management committees. The exposure to credit risk and
the creditworthiness of counterparties is continuously monitored.

Liquidity risk

The company is exposed to liquidity risk, which is the risk that the company will encounter difficulties in meeting its
obligations as they become due.

The company manages its liquidity risk by effectively managing its working capital, capital expenditure and cash flows.
The financing requirements are met through a mixture of cash generated from operations and long and short term
borrowings. Committed borrowing facilities are available for meeting liquidity requirements and deposits are held at
central banking institutions.

Interest rate risk

Fluctuations in interest rates impact on the value of investments and financing activities, giving rise to interest rate
risk.

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Greenwich Trustees Limited 2021 2020

Formerly GTL Trustees Limited
(Registration number RC 180089)
Annual Report and Financial Statements for the year ended December 31, 2021

Notes to the Annual Report And Financial Statements

Figures in Naira thousand

27. Financial instruments and risk management (continued)

The debt of the company is comprised of different instruments, which bear interest at either fixed or floating interest
rates. The ratio of fixed and floating rate instruments in the loan portfolio is monitored and managed, by incurring
either variable rate bank loans or fixed rate bonds as necessary. Interest rate swaps are also used where appropriate, in
order to convert borrowings into either variable or fixed, in order to manage the composition of the ratio. Interest rates
on all borrowings compare favourably with those rates available in the market.

The company policy with regards to financial assets, is to invest cash at floating rates of interest and to maintain cash
reserves in short-term investments in order to maintain liquidity, while also achieving a satisfactory return for
shareholders.

28. Comparative figures

Where necessary, comparative figures have been adjusted to conform to changes in presentation in line with the
requirement of the International Accounting Standards (IAS 1).

29. Approval of the financial statements

These financial statements were approved by the board of directors and authorised for issue on the 4th of February
2022.

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Greenwich Trustees Limited

Formerly GTL Trustees Limited
(Registration number RC 180089)
Annual Report and Financial Statements for the year ended December 31, 2021

Statement of Value Added

Figures in Naira thousand 2021 2021 2020 2020
% %

“Value added” is the measure of wealth the company has created in its operations by “adding value” to the cost of
products and services. The statement below summarises the total wealth created and shows how it was shared by
employees and other parties who contributed to its creation. Also set out below is the amount retained and re-
invested in the company for the replacement of assets and the further development of operations.

Value Added

Value added by operating activities 1,886,578 1,260,183
Revenue (669,020) (587,605)
Bought - in materials and services -Local 3,046 10,415
Other income - 214
Other operating gains
1,220,604 99 683,207
99

Value added by non-operating activities 10,114 7,095
Other non-operating gains (losses)
10,114 1 7,095 1
Total Value Added
1,230,718 100 690,302 100

Value Distributed 83,518 85,921
83,518 7 85,921 12
To Pay Employees
Salaries, wages, medical and other benefits

To Pay Government 204,720 7,970
Income & education tax 58 29
NPTF tax
204,778 7,999
17 1

To be retained in the business for expansion and future wealth 11,406 11,853
creation: 21,559 63,579
Value reinvested
32,965 3 75,432 11
Depreciation, amortisation and impairments

Deferred tax

Value retained 909,457 520,950
Retained profit
909,457 74 520,950 75
Total Value Distributed
1,230,718 100 690,302 100

Value added represents the additional wealth which the company has been able to create by its own and employees
efforts.

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Greenwich Trustees Limited

Formerly GTL Trustees Limited
(Registration number RC 180089)
Annual Report and Financial Statements for the year ended December 31, 2021

Five Year Financial Summary

Figures in Naira thousand 2021 2020 2019 2018 2017

Statement of Financial Position 11,545,070 12,267,598 7,082,812 4,163,692 4,552,081
4,039,063 3,954,822 4,230,838 7,288,038 7,711,966
Assets 1,024,381 933,628
Cash and cash equivalents 11,748 15,447 150,375 272,438 95,696
Investment securities 1,043,163 1,043,163 23,790 32,970 41,996
Trade and other receivables 679 2,090 43,163 43,163
Property and equipment - 19,405 1,043,163 13,572
Investment property 5,069 3,783 496
Intangible asset 17,664,104 18,236,153 13,018
Deferred tax asset 82,984 11,817,656
12,458,416
Total assets 12,619,031

Liabilities 13,529,485 14,721,641 9,206,670 6,884,624 9,247,906
Clients' funds 392,503 407,318 360,699 2,121,676 239,114
Other liabilities 204,977 7,997 87,392 115,752
Current tax liabilities 2,153 - - 79,632 -
Deferred tax liability -
14,129,118 15,136,956 9,654,761 9,602,772
Total liabilities 9,085,932

Equity 450,000 450,000 450,000 450,000 450,000
Share capital (59,527) (80,861) (99,839) (89,137) -
Fair value reserve 3,144,513 2,730,058 2,614,109 2,370,861
Retained earnings 2,405,644
3,534,986 3,099,197 2,964,270 2,731,724
Total equity 2,855,644
17,664,104 18,236,153 12,619,031 11,817,656
Total equity and liabilities 12,458,416

Statement of Profit or Loss and Other Comprehensive Income

Income 1,886,578 1,260,183 1,531,600 1,534,654 1,786,615
Fund management expense (454,174) (418,448) (669,565) (597,627) (555,657)

Gross profit 1,432,404 841,735 862,035 937,027 1,230,958
Other income 3,046 11,973 13,321 28,572 107,751
Net trading gains (losses) - 214 - 2,784 4,744
Operating expenses (302,746)
(309,770) (268,489) (330,157) (341,769)
Operating profit 1,040,707
Impairment (loss)/ write back 1,125,680 585,433 545,199 626,614 -
10,114 7,095 (13,426) 3,442
Profit before taxation 1,040,707
Taxation 1,135,794 592,528 531,773 630,056 (275,702)
(226,337) (71,578) 71,472 (84,084)
Profit after taxation 765,005
909,457 520,950 603,245 545,972
765,005
909,457 520,950 603,245 545,972
765,005
909,457 520,950 603,245 545,972

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