The Kenya Commercial Bank Group net profit for the first six months grew by 102% to Ksh. 15.3 Billion up from Ksh. 7.6 Billion for a similar period last year.
The rise in profitability was on the back of a rise in the total operating income to Ksh. 51.2 Billion up from Ksh. 45 Billion the previous year. This was driven by a 14% increase in the interest income to Ksh. 47.1 Billion. Non-interest income on the other hand grew by 6% to KSh14.8 billion
The bank managed to cut its total operating expenses to Ksh. 29 billion from Ksh. 32 Billion the previous. This was occasioned by a decline in the loan loss provisions to Ksh. 6.5 Billion down from Ksh. 11 Billion in the previous year.
According to the bank, they are on course to acquire Atlas Mara assets in Rwanda and Tanzania. That is the Banque Populaire du Rwanda (BRP) and the African Banking Corporation (ABC). As such, the bank has indicated that they will not pay an interim dividend for the half-year period that ended on 30th June 2021.
Joshua Oigara, CEO KCB Bank, had this to say, “We saw a strong first half of the year for the business with improved economic activity. The resilient and diversified nature of our business has helped us navigate the unfolding impact of the Covid-19 pandemic.”