I&M Group recorded a stronger income growth in the first six months of the year to deliver a net profit of Ksh 6.1 billion.
Profit after tax rose by 21pc from Ksh 5 billion recorded in the corresponding period last year which is attributed to stringer growth in interests from loans, fees and a reduction in loan loss provisions.
“Operating income recorded a growth of 19pc for the period under review, driven by a 35pc increase in net interest income while the Group’s operating profitability increased by 21pc year on year to Ksh 11.9 billion,” the bank said.
Even as loan uptake surged by 5pc to reach Ksh 284
billion, bad loans eased to Ksh 15 billion from Ksh 18.4 billion with loan loss provision of Ksh 3.5 billion.
Operating expenses, exclusive of loan loss provisions recorded an
increase of 16pc year on year to Ksh 10.8 billion driven by continued investment in technology and people across all markets, the lender said.
In a year to June, customer deposits rose by 18pc to stand at Ksh 419 billion from its 600,000 customers.
“Our focus on offering relevant financial solutions for Kenyans like free bank to MPESA & Airtel Money transactions to individuals and Solo Biz owners (soleproprietors), strategic branch expansion and ecosystem partnerships has resulted in significant growth in our customer numbers and increase in deposit balances,” said Gul Khan, I&M Bank Chief Executive Officer.
According to the lender, regional subsidiaries contributed 26pc of its profit before tax which rose by 21pc to Ksh 8.7 billion from Ksh 7 billion reported last year.
The bank closed the half year with total assets rising 12pc to Ksh 564 billion.
