Family Bank has registered a 187.8-million-shilling net profit in the nine months ending September 30, 2018.
The increased profits are said to be as a result of increased uptake on digital banking that has seen growth in credit uptake through the revamped PesaPap as well as continued improved operation efficiency that has resulted in cost containment for the bank.
The Bank’s profit position for the nine months ended September is a remarkable turnaround from the same period last year when the Bank registered a loss of Ksh743.1 million.
Net loans and advances to customers grew by 190.8 million shillings to close at 44.6 billion shillings while net interest income grew by 5.5 percent to 3.1 billion shillings compared to 2.9 billion shillings in the same period under review in 2017.
Interest from government securities also grew by 8.1 percent to close at 567.9 million shillings. The Bank maintained a strong liquidity position closing the period at 33.4 percent.
The lenders aggressive cost containment efforts resulted in a decrease in the total operating expenses by 15.4 percent closing the period at 4.7 billion shillings.
Staff costs significantly reduced by 19.3 percent to 1.3 billion shillings compared to 1.6 billion shillings recorded in September 2017.
Customer deposits marginally decreased by 0.5 percent and stood at 47.9 billion shillings as at September 2018.
Gross non-performing loans and advances decreased by 6.5 million shillings as at September 2018 compared to the same period under review in 2017.