State-owned lender, Consolidated Bank has ended its poor run of results after posting Ksh 12 million net profit in the first half of the year from Ksh 84.6 million loss reported over the same period last year.
The profit was boosted by improved net interest income which increased by 21pc to Ksh 551 million compared to Ksh 455 million reported in during the first half of 2024.
“The Bank’s growth outlook is positive and is gearing up for accelerated growth through improved digital service delivery channels as well as innovative products to serve our customers especially in the SME and MSME sectors,” said Sam Muturi, Consolidated Bank Chief Executive Officer.
The lender is among public entities the government has been considering to divest from under its ongoing privatization programme after a run of losses and dwindling deposits.
According to the Auditor General, Consolidated Bank accumulated losses stood at Ksh 4.45 billion as at December last year while liabilities exceeded assets by Ksh 466.14 million.
In the half year period, total assets rose to hit Ksh 18.4 billion compared to Ksh 15.5 billion recorded during a similar period the previous year representing a 18.5pc increase.
“We will continue building on the strategic initiatives undertaken over the last three years to transform the position of the Bank, and we are pleased to note that they have already started bearing fruits,” added Muturi.
Total liabilities increased to Ksh 17.9 billion from Ksh 14.9 billion on strong customer deposits which surged 8pc year-on-year to stand at Ksh 12 billion.
The bank says provisions for bad debts on its Ksh 8 billion loan book increased by 3pc from Ksh. 157 million in first half of the year compared to Ksh 162 million recorded in 2024.
