Stanbic Holdings Plc has recorded a Kes9.1 billion net profit for the year ended 31 December 2022, representing a 26 per cent increase from the Kes7.2 billion posted in 2021.
Increased operational efficiencies, prudent risk management, and double-digit growth in revenue and customer loans were all cited as contributing factors to the expansion.
The lender reported a 28% increase in revenue throughout the examined period, ending at Kes32 billion.
Deposits from clients climbed by 11% to Kes272 billion, while advances and loans to customers increased by 27% to Kes236 billion.
Chief Executive Officer of Stanbic Kenya and South Sudan, Joshua Oigara, stated that the company's strategic plan, developed and enacted three years ago, continues to support growth and organisational resilience.
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He said that despite the uncertain and challenging operating environment last year, the business delivered strong results, attributed to the Lender’s focused execution across our strategic plan.
“The plan is anchored on catalytic growth pillars such as customer service excellence and technology integration to boost operating efficiencies,” Oigara said.
Subject to approval at the following Annual General Meeting, shareholders of the Nairobi Securities Exchange (NSE) listed company will receive Kes4.98 billion in dividends, a 40% increase from Kes3.56 billion in the prior year.
As a result, the dividend per share will increase to Kes12.60 in 2021 from Kes9.
On his part, Stanbic Holdings Chief Financial and Value Officer Dennis Musau noted that the significant progress on its strategic plan and requisite measures made by the Bank over time have cumulatively contributed to its strong growth momentum.
"Over time, we have made investments to drive faster customer acquisition, efficient and convenient service and internal operational efficiency. The outcome of these efforts is evident in our Cost to Income ratio which reduced from 50.9 per cent in 2021 to 46.7 per cent in 2022, boosting our Return on Equity to 15.3 per cent, up from 13.3 per cent in 2021.” said Musau.
