Co-op Bank Registers Ksh 16.4Bn Profit before Tax as Deposits Grow to Ksh 287.7Bn

The Co-operative Bank of Kenya has released its 2017 full year report registering a profit before tax of 16.4 billion shillings.

The lender’s operating efficiency continues to increase, with the cost-to-income ratio recording an improvement from a high of 59 percent in 2014 to 52 percent in 2017.

The total assets also registered a growth of 35 billion shillings, a 10 percent increase to 386.9 billion shillings.

The bank continues lending money to customers with the growth of loans by 17 billion shillings, a 7 percent increase to 253.9 billion shillings.

The customer deposits were represented by a growth of 9 percent to 287.7 billion shillings.

The lenders solid capital base is retained with total capital against total risk-weighted assets standing at 22 percent, which is 7.5 percent above the statutory minimum of 14.5 percent.

A total of 87 percent of all customer transactions migrated to alternative delivery channels.

Co-op bank now serves 7 million account-holders across all sectors. The primary focus is on digital banking, with the Mco-op Cash Mobile Wallet enrolling 3.6 million customers. It has also grown partnerships with 560 Sacco FOSAs and over 1 million Sacco-Link cards issued.

The bank’s foundation – Co-op Bank Foundation so far has supported 6,303 gifted but needy students from various regions across the country since the program began in 2007. The bank was also named the overall winner at the Kenya Bankers Association Sustainable Finance Catalyst Awards 2017. It was distinguished for building a sustainability strategy that allows people, businesses, and society to grow in a way that is most sustainable in the long-term.

The lender’s board has recommended 0.80 shillings per share dividend.