Home Business Higher revenue lifts KCB Group net profit by 69pc

Higher revenue lifts KCB Group net profit by 69pc

PHOTO | Courtesy

KCB Group profit after tax jumped 69pc in the first quarter of this year to Ksh 16.5 billion from Ksh 9.8 billion reported last year on account of better revenue performance.

The bank which has now regained its position as the most profitable bank and the largest by asset base saw its revenue grow by 31.6pc to Ksh 48.5 billion from Ksh 36.9 billion.

“Despite a difficult operating environment across the region, we saw a strong revenue performance in the business as we entrenched prudent credit, liquidity, cost, and overall risk management,” said Paul Russo, KCB Group Chief Executive Officer.

Higher revenue was reported in both funded and non-funded income.

Net interest income increased from Ksh 22.1 billion to Ksh 31.1 billion while higher earnings from forex trading lifted helped increased non-funded income to Ksh 17.4 billion from Ksh 14.9 billion.

The group is now the largest bank the East Africa after total assets grew by 22.4pc to Ksh 2 trillion on account of an increase in customer deposits from all segments.

Customer Deposits increased by 25.4pc to Ksh 1.5 trillion, largely from the Kenyan market.

“Consumer deposits continued to grow, a show of confidence that our clients have in the brand. Our deliberate investments in digital and payments capabilities as well as regional expansion approach continued to deliver impressive results,” added Russo.

KCB Group customer loans during the three month period of the year to March 31 also rose by 12.2pc to Ksh 1.13 trillion.

Website | + posts