KCB’s Price Remains Unchanged Despite 13% Increase in PAT

By Soko Directory Team / August 5, 2016 | 6:51 am



KCB Group Named 2017 Kenya’s Bank of the Year

Equities

Dwindling performance in today’s trading session as all indices slid reversing previous day’s gains. The NSE-20 share index diminished 0.44% to 3464.48 points while the NASI dipped 1.31% to 143.39 points.

The NSE-25 share index cutback 34.99 points to 3937.55 points from 3972.54 points. Market capitalization followed suit, losing by 1.31% to close at KES. 2.065Tn, as equity turnover plunged by 57.85% to 364.44Mn. The market breadth illustrated the indices performance as 18 stocks declined and only 14 advanced, emphasizing a 0.78x ratio.

 Kenya Commercial Bank Ltd (NSE: KCB) announced its HY16 results whereby pre-tax earnings advancing 14.33% to KES 15.09 Billion from KES 13.20 Billion in HY15. Net interest income shored up 15.85% to KES 22.53 Billion from KES 19.45Bn in HY15 buoyed by a 22.37% increase in total interest income. Interest expense, on the other hand, went up 42.15% to KES 9.11Bn from KES 6.41Bn same period last year.

Read: Proposal to Lift Miraa Export Duty to Somalia Opposed  

Non-interest income however recorded a 7.71% decline to KES 10.40Bn from KES 11.27Bn in HY15, the downswing attributable to a 5.41% decrease in fees and commission on loans and advances and a 21.74% decline in forex income. Operating expenses rose by a marginal 1.84% y-o-y to KES 17.83Bn from KES 17.51Bn supported by the groups cost management strategies. Loans and advances went up 8.36% to KES 347.4Bn. Customer deposits went down 2.17% to KES 433.42Bn largely due to South Sudan currency devaluation.

Currencies

On Thursday the Kenyan shilling bucked the trend and shored up significant gains against seven of the eight currencies in its basket. Market sentiment was dominated by the Bank of England’s decision to cut interest rates, for the first time since March 2009; a decision that came a day after survey data indicated that the U.K economy is sliding into mid recession.

Today, the BoE cut rates to a record-low of 0.25% and boosted its quantitative easing program by GBP 60Bn; in a bid to resume its multi-billion-pound program of government bond purchases. On the day the GBPKES pair rallied by 0.06%, as we expect the impact to be more visible in the following trading day.

Across the pond, the local currency rallied by a mere 0.01% against the US Dollar as the latter found it difficult to be buoyed by upbeat private sector jobs, amidst sentiment that the Fed’s credibility remains low. On the local front, the shilling garnered a 0.82% gain against the South African Rand. This is despite the Rand hitting a 9-month high due to a plethora of sentiment boosters; most notably election results trickling in (which showed the smooth running of local government, despite a more contested election) and depressed international interest rates. 

 





About Soko Directory Team

Soko Directory is a Financial and Markets digital portal that tracks brands, listed firms on the NSE, SMEs and trend setters in the markets eco-system.Find us on Facebook: facebook.com/SokoDirectory and on Twitter: twitter.com/SokoDirectory

View other posts by Soko Directory Team


More Articles From This Author







Trending Stories










Other Related Articles










SOKO DIRECTORY & FINANCIAL GUIDE



ARCHIVES

2020
  • January 2020 (272)
  • February 2020 (310)
  • March 2020 (390)
  • April 2020 (322)
  • May 2020 (336)
  • June 2020 (67)
  • 2019
  • January 2019 (253)
  • February 2019 (216)
  • March 2019 (285)
  • April 2019 (254)
  • May 2019 (272)
  • June 2019 (251)
  • July 2019 (338)
  • August 2019 (293)
  • September 2019 (306)
  • October 2019 (313)
  • November 2019 (362)
  • December 2019 (320)
  • 2018
  • January 2018 (291)
  • February 2018 (219)
  • March 2018 (278)
  • April 2018 (225)
  • May 2018 (238)
  • June 2018 (178)
  • July 2018 (256)
  • August 2018 (249)
  • September 2018 (256)
  • October 2018 (287)
  • November 2018 (284)
  • December 2018 (185)
  • 2017
  • January 2017 (183)
  • February 2017 (194)
  • March 2017 (207)
  • April 2017 (104)
  • May 2017 (169)
  • June 2017 (205)
  • July 2017 (190)
  • August 2017 (195)
  • September 2017 (186)
  • October 2017 (235)
  • November 2017 (253)
  • December 2017 (266)
  • 2016
  • January 2016 (165)
  • February 2016 (165)
  • March 2016 (190)
  • April 2016 (143)
  • May 2016 (245)
  • June 2016 (182)
  • July 2016 (271)
  • August 2016 (248)
  • September 2016 (234)
  • October 2016 (191)
  • November 2016 (243)
  • December 2016 (153)
  • 2015
  • January 2015 (1)
  • February 2015 (4)
  • March 2015 (166)
  • April 2015 (108)
  • May 2015 (116)
  • June 2015 (120)
  • July 2015 (148)
  • August 2015 (157)
  • September 2015 (188)
  • October 2015 (169)
  • November 2015 (173)
  • December 2015 (207)
  • 2014
  • March 2014 (2)
  • 2013
  • March 2013 (10)
  • June 2013 (1)
  • 2012
  • March 2012 (7)
  • April 2012 (15)
  • May 2012 (1)
  • July 2012 (1)
  • August 2012 (4)
  • October 2012 (2)
  • November 2012 (2)
  • December 2012 (1)
  • 2011
    2010
    2009
    2008
    2007
    2006
    2005
    2004
    2003
    2002
    2001
    2000
    1999
    1998
    1997
    1996
    1995
    1994
    1993
    1992
    1991
    1990
    1989
    1988
    1987
    1986
    1985
    1984
    1983
    1982
    1981
    1980
    1979
    1978
    1977
    1976
    1975
    1974
    1973
    1972
    1971
    1970
    1969
    1968
    1967
    1966
    1965
    1964
    1963
    1962
    1961
    1960
    1959
    1958
    1957
    1956
    1955
    1954
    1953
    1952
    1951
    1950