Equity Bank reports 18pc growth in half-year net profit to Sh11bn
The lender’s net interest income climbed 9 per cent to Sh19.6 billionLoans to customers expanded by a marginal 4 per cent to Sh275 billionCustomer deposits increased 9 per cent to Sh393.7 billion from Sh362.8 billion a year earlier.
Equity Bank Group #ticker:EQTY on Thursday reported an 18 per cent rise in after-tax profit for the six months to June largely on increased interest earnings and cost management measures. Equity’s net profit increased to Sh11 billion from Sh9.4 billion, the country’s largest lender by market value said.The lender’s net interest income climbed 9 per cent to Sh19.6 billion from Sh17.9 billion in the same period of 2016 as the impact of the September 2016 legal ceilings on loans wanes.Loans to customers expanded by a marginal 4 per cent to Sh275 billion from Sh265.1 billion, reflecting the lender’s continued refusal to fund risky micro enterprises and households who do not have security.
“This performance is a reflection of diversification of our revenue sources,” the group’s managing director James Mwangi told an investor briefing at the bank’s headquarters in Upper Hill, Nairobi.Total operating costs dropped by 2 per cent to Sh17.3 billion from Sh17.6 billion.Customer deposits increased 9 per cent to Sh393.7 billion from Sh362.8 billion a year earlier.READ: NSE companies lay off 4,250 staff in one year