Equity Bank Registers Ksh.19.8 Billion Profit After Tax

By Vera Shawiza / March 27, 2019 | 7:21 am



Equity Group's Q3 2017 Profit Before Tax drops by 3.6pc

Equity Group has registered a profit after tax of 19.8 billion shillings in its first financial year, a five percent increase from 18.9 billion shillings posted the previous year.

The increase in profit has been attributed to increased lending by the lender to the Government

The bank’s net interest income grew 10 percent to 41.4 billion shillings as it concentrated an increase in yield on loans at 11.7 percent as the yield on government securities went up by 11.4 percent.

The bank’s customer loans increase from 279 billion shillings to 297 billion shillings.

Equity Bank Group Chief Executive James Mwangi disclosed that there was a slight increase on deposits from 373 billion shillings to 422 billion shillings, terming it a vote of confidence in Kenya’s second-largest bank by assets.

TODAY’S UPDATES

“We are progressing well when it comes to our performance year in year out. Interest rates income still remain our stronghold as we have witnessed a 10 percent growth compared to last year from 48.4 billion shillings to 53.2 billion shillings,” added Mwangi.

The group equally shaved it’s operating expenses by 1 percent to close the year at 23.7 billion shillings despite a 6 percent drop on its non-funded income at 25.9 billion shillings.

The group’s cash transactions happening outside the branch stands at 96 percent with 93 percent of loans accessed and originated through mobile transactions.

In the year under review, Equity set aside 3.7 billion shillings in earnings as provisions for bad loans up from 3.4 billion shillings in 2017.

Mwangi said the additional buffers gave the lender much needed a cover over legacy bad debts to allow the bank to take off without worries in 2019.

It was marked by an increase in gross non-performing loans of 24 billion shillings up from 17.9 billion shillings.

Statutory loan reserves declined from 2.6 billion shillings to 16 million shillings.

READ ALSO Kenya to Float Bonds in April to Raise KSh.50 Billion to Fill Syndicated Loan Gap

The lender also faced a challenge making money away from interest with non-funded income declining from 27.5 billion shillings to 25.8 billion shillings on lower fees and commissions and foreign exchange trading.





About Vera Shawiza

Vera Shawiza is Soko Directory’s in-house journalist. Her zealous nature ensures that sufficient and relevant content is generated for the Soko Directory website and sourcing information from clients is easy as smooth sailing.Vera can be reached at: (020) 528 0222 or Email: info@sokodirectory.com

View other posts by Vera Shawiza


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 (73)
  • 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