I&M bank reports 17 per cent jump in pre-tax profitsAugust 29, 2019
NAIROBI, Kenya, Aug 29 – I&M bank has posted a 17 per cent growth in profit after tax in for the first six months of 2019.
The financial services provider’s profits increased to Sh4.5 billion compared to Sh3.9 billion registered during the same period last year.
While announcing the results, I&M Holdings Chairperson Daniel Ndonye attributed the boosted performance to sustained efforts in achieving the bank’s corporate strategy objectives anchored on sustainable growth.
“The Group continued to deliver market-driven financial solutions for its customers, sustained efforts in raising customer service delivery standards, improved internal controls and ramped up efforts in its digital transformation journey to achieve this set of results,” he said.
The bank’s net interest income improved to Sh7.02 billion, which is a 2 per cent rise compared to Sh6.86 billion that was announced in 2018, during the half year results.
Non-Interest Income recorded a steady improvement up from Sh3.7 billion to Sh4.5 billion attributed to increased fees and commissions from transactional accounts, card products and online banking as well as Trade Finance.
According to the bank, the growth was brought about by increased focus on growing quality interest earning assets.
The group’s lending book registered Sh172.1 billion in the first six months up from Sh162.8 billion for the similar period last year.
The lenders customer deposits also increased by 12 per cent and reached Sh237.2 billion, from Sh210.9 billion.
On account of increased allowances for loan losses, the net Non-Performing Assets (NPAs) recorded a decline of 28 per cent to Sh9.2 billion.
The Group’s Total Assets recorded a growth to Sh317 billion up from Sh283 billion reflecting a 12 per cent growth bolstered largely by growth in customer deposits.