“Soaring Eagle” Transformation Agenda Boosts Co-op Bank’s Profit By 6PC To Ksh15.4 Billion

Co-operative Bank has recorded a Ksh15.45 billion  before tax profit for the third quarter of 2019 ending September 30.

This reflects a six percent growth compared to Ksh14.64 billion recorded in the same period in 2018.

In net profits after tax, Co-op recorded Ksh10.9 billion compared to Ksh10.3 billion in the previous year.

“The Group continues to leverage on the benefits of the “Soaring Eagle” Transformation Agenda that has re-tooled and equipped the business with added competitive edge as reflected in the sustained growth in market share across all market segments and counties.It has continued with a strategy for continued deepening and dominance in our domain market segment leveraging on our successful penetration of the Micro, Medium and Small Enterprises and the Saccos, while reviewing opportunities to grow alternative income streams from other services like Bancassurance, and Leasing business being done through Co-op Bank Fleet Africa Leasing Ltd, a joint venture with Super Group of South Africa,” the Banks said in a statement.

Read: Co-op Bank To Retain lending Rates As Sidian Bank Hikes Its Interest Rates

The total operating income grew by 9 per cent from Ksh32.3 billion to Ksh35.2 billion while total non-interest income increased by 33 per cent from Ksh10.6 billion to Ksh14.1 billion.  Interest income from government securities increased by 18 per cent from Ksh6.9 billion to Ksh8.2 billion.

Assets grew by Ksh36.6 billion to Ksh440.8 billion compared to Sh404.2 billion in the same period last year.

Net loans and advances book grew from Ksh254.2 to Ksh268.9 billion. Investment in Government securities grew by Ksh11.4 billion (13.7 per cent) to Ksh94.6 billion compared to Ksh83.2 billion in first three quarters of 2018.

Read: Co-op Bank, CFAO Kenya Launch Financing Scheme For Agri-Machinery and Equipment

The bank currently serves at least 8.7 million Account-holders across all sectors.

With the customer base, deposits grew by 9 per cent from Ksh296 billion to Ksh322.5 billion while shareholders’ funds grew from Ksh70.9 billion to Ksh73.9 billion.

Co-operative Bank of South Sudan that is a Joint Venture (JV) partnership with Government of South Sudan (Co-op Bank 51 per cent and GOSS 49 per cent) made a Profit before tax of Ksh174.7 million in Q3 2019.

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