Stanbic Bank Kenya has reported a 37.3 per cent rise in profits through nine months to September as net earnings hit Ksh.7 billion from Ksh.5.1 billion.

Growth in net profit for the lender has been underpinned by a 31.4 per cent growth in total operating income to Ksh.23 billion from Ksh.17.5 billion.

Stanbic’s net interest income has stretched by 27 per cent to Ksh.12.7 billion as net loans and advances to customers grow by 34.1 per cent to Ksh.236.9 billion.

The bank’s non-interest funded income has meanwhile grown by 37.3 per cent to Ksh.10.3 billion with foreign exchange trading income backing the rise to soar to Ksh.6.9 billion from Ksh.4.1 billion.

The lender has nevertheless nearly doubled its cover for bad loans to Ksh.2.9 billion from Ksh.1.5 billion in September last year.

The higher cover for loan losses comes as gross-non-performing loans rise by 11.8 per cent to Ksh.25.6 billion.

During the period, Stanbic Bank customer deposits have grown by 25.6 per cent to Ksh.267.3 billion.

By Fred Azelwa.