KCB Group has recorded a Kes40.8 billion profit after tax for the full year ending December 2022, on a higher funded and non-funded income stream.
The lender’s net profit grew 19.5 per cent to Kes40.8 billion from Kes34.2 billion during a similar period in 2021.
Additionally, the profit before tax contribution of other subsidiaries excluding KCB Bank Kenya increased to 17.0 per cent up from 13.9 per cent in 2021.
The increase is attributed to organic growth and increased scale in the businesses.
KCB Group CEO Paul Russo noted that the Group’s strong performance for the year was a result of their business strategy that is anchored on customer obsession, sharper execution, and productive organizational culture.
“The business benefited from a vibrant core banking business, growth of new business lines and accelerated digital transformation to post this record performance”, Russo added.
Revenues increased by 19.6 per cent to Kes129.9 billion, driven by net interest income which grew by 11.5 per cent, supported by earning assets.
Non-funded income grew 39.8 per cent largely from trade finance income, lending fees and commissions.
However, costs were up 24.1 per cent compared to last year on account of increased business activities and the impact of BPR and TMB acquisitions.
Further, Russo noted that the company has positive momentum, and will build on this to ensure they make a significant step change in culture and performance, across all our business units.
“Despite a challenging operating environment, the belief in our people, enhanced digital capabilities, impetus in our regional businesses and successful integration of Trust Merchant Bank (TMB)—our latest subsidiary in the Democratic Republic of Congo— makes a good case for better performance,” he added.
