KCB pre-tax profit up by 12 per cent

Pre- tax profits at KCB bank increased by 12% during the first quarter of 2015, a new report has indicated. Pre-tax profit is the profit for a particular period of time before tax deductions.

Pre- tax profits at KCB bank increased by 12% during the first quarter of 2015, a new report has indicated.

Pre-tax profit is the profit for a particular period of time before tax deductions.

According to the statement from the bank, KCB in 2015 got net profit of Rwf44 billion from its interest income and fees and commissions from the bank’s new business lines.

“The impressive earnings are as a result of a continued focus on the business to drive up non-funded income,” said Joshua Oigara, the Kenyan bank group’s chief executive officer.

Fees and commissions increased by 19 per cent as a result of increased transaction volumes and new products which we have rolled out to meet changing customer needs, Oigara added.

Oigara noted that the bank has been tightening its cost management initiatives to realise this growth.

The statement also indicated that the net interest income increased by 11 per cent from Rwf58 billion to Rwf65 billion while total operating income was recorded at Rwf98 billion from Rwf92 billion last year in same period.

The bank’s total assets increased by 24 per cent from Rwf2.9 trillion to Rwf3.6 trillion, while its net loans and advances went up by 27 per cent from billion Rwf1.6 trillion to Rwf2.1 trillion.

The financial results showed that customer deposits also increased by 27 per cent from Rwf2.2 trillion to Rwf2.8 trillion.

The bank’s shareholder funds equally increased by 19 per cent from Rwf468 billion to Rwf556 billion.

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