Co-operative Bank Group has recorded a 53.8% jump in full-year profit after tax which grew to Kshs. 16.5 billion from Kshs. 10.8 billion reported in 2020.
The improved performance for the period ended December 31, 2021, is attributed to higher total operating income which grew by 12% from Kshs. 53.8 billion to Kshs. 60.4 billion.
Net interest income on the other hand grew 13% to reach Kshs. 41 billion from Kshs. 36.3 billion.
Net loans and advances book grew 8% to Kshs. 310.2 billion from Kshs. 286.6 billion in 2020 in a period bad loans cooled off on what Dr. Muriuki attribute to proactive credit management.
“The Group prudentially provided Kshs. 7.9 bllion in loan loss provisions compared to Kshs 8.1 billion provided in 2020 indicating improving quality of our asset book as businesses and households continue to recover from the impact of Covid-19 pandemic,” said Dr Gideon Muriuki, Group Chief Executive Officer, Co-op Bank.
Customer deposits also grew to Kshs 407.7 billion from Kshs. 378.6 billion representing an 8% increase.
During the period under review, the bank also reported a 94% movement of customer transactions to alternative delivery channels.
“Mco-op Cash Mobile Wallet continuing to play a pivotal role in the growth of non-funded income with 5.3 Million customers registered and loans worth Kshs 71.2 billion disbursed year-to-date, averaging Kshs. 6 billion per month,” added Muriuki.
The board has recommended a dividend payout of Kshs. 1 per share amounting to Kshs. 5.9 billion.
By Fred Azelwa.