Co-operative Bank Records Ksh.11.5B Half Year Net Profit

Cooperative Bank profit after tax has risen 55.4 percent to reach Ksh 11.5 billion for the six months period to June 30, 2022.

The profit which has grown from Ksh 7.4 billion recorded during a similar period last year. A 29 percent increase in non-funded income which from Ksh 10.3 billion to Ksh 13.3 billion, on the backdrop on increased use of its M-coop Cash mobile wallet which has disbursed loans totaling Ksh 40.8 billion.

Net interest earnings from loans and advances on the other hand rose from Ksh 18.8 billion to Ksh 21.1 billion, an 11.8 percent increase.

Net loans and advances grew 9.6 percent to Ksh 330 billion, from Ksh 301.2 billion while total assets surged 5.4 percent to Ksh 603.9 billion,  from Ksh 573 billion recorded in the same period last year.

This as the lender cut its loan loss provision to Ksh 3.3 billion from Ksh 4.2 billion which the Group CEO Dr Gideon Muriuki attributes to businesses and households continuing recovery to embark on loan repayments after COVID-19 pandemic.

“Credit Management remains a key focus area as we continue to execute our Credit Quality and Growth strategies that have registered progressive improvement in loan book quality,” said Dr Muriuki.

Investment in government securities also rose marginally by Ksh 1.2 billion to Ksh 183.2 billion as customer deposits grew to Ksh 423 billion, from Ksh 407.7 billion.

Co-op Group profit before tax grew 45 percent to Kshs. 15.3 billion compared to Ksh 10.5 billion recorded in the first half of 2021.

Going forward, Dr Muriuki said, “The Co-operative Bank Group continues to pursue strategic initiatives that focus on resilience and growth in the various economic sectors. This is anchored on a successful universal banking model supported by an innovative digital presence, a wide physical footprint, 9 Million customers and the unique synergies in the over 15 million-member co-operative movement that is the largest in Africa.”