- Co-operative Bank has posted KSh 11.6 billion compared to Kshs. 9.8 billion reported in the third quarter of 2020
- The bank’s total assets grew by Kshs. 82 Billion to Kshs. 592.9 Billion compared to Kshs 510.9 Billion in the same period last year
- Customer deposits grew by 12% from Kshs. 375.5 Billion to Kshs 420.4 Billion while borrowed funds grew by Kshs. 17.7 Billion to Kshs 43.8 Billion from Kshs.26.2 Billion in 2020
Co-operative Bank Group has reported KSh 11.6 billion compared to Kshs. 9.8 billion reported in the third quarter of 2020, exceeding pre-pandemic performance.
In a statement, the bank says the performance is in line with its strategic focus that supports growth, resilience and agility.
During the period under review, the bank’s total assets grew by Kshs 82 Billion to Kshs. 592.9 Billion compared to Kshs 510.9 Billion in the same period last year.
At the same time, net loans and advances book grew by Kshs 22.1 Billion from Kshs.284.2 Billion to Kshs. 306.3 Billion.
Customer deposits grew by 12% from Kshs. 375.5 Billion to Kshs 420.4 Billion while borrowed funds grew by Kshs. 17.7 Billion to Kshs 43.8 Billion from Kshs.26.2 Billion in 2020.
Shareholders’ funds grew to Kshs. 95 Billion from Kshs. 82.0 Billion in 2020 enabling us to continue pitching for big-ticket deals.
The period also saw the bank’s total operating income grow by 19.2% from Kshs 37.2 Billion to Kshs 44.4 Billion.
Additionally, the bank’s total non-interest income grew by 15.6% from Kshs 13.6 Billion to Kshs 15.7 Billion.
Net interest income grew by 21.3% from Kshs 23.6 Billion to Kshs 28.7 Billion while total operating expenses grew by 19.2% from Kshs 23.5 Billion to Kshs. 28 Billion on account of a 50% prudential growth in loan-loss provisions.
Co-operative bank increased loan loss provisions to Kshs. 6.0 billion in the third quarter of the year 2021, in appreciation of the challenges that businesses and households continue to face due to the effects of the ongoing pandemic.
A total of Kshs. 49 billion in loans was restructured during the CBK restructure window that ended on 31st March 2021, with the restructured facilities largely performing as per the realigned agreements.
During the same period, the bank says through our multi-channel strategy, it moved 93% of all customer transactions to alternative delivery channels; an expanded 24-hour contact centre, mobile banking, 589 ATMs, internet banking and over 23,000 Co-op Kwa Jirani agency banking terminals.
“A successful Universal Banking model and the implementation of Sales Force Effectiveness has seen the Group serve over 9 million Account holders across all sectors.”
The group said its focus on digital banking through the Mco-op Cash Mobile Wallet continued to play a pivotal role in the growth of non-funded income with 5.3 Million customers registered and loans worth Kshs 51.3 Billion disbursed year-to-date, averaging Kshs. 5.7 Billion per month.
During the same period, over 139,299 customers have taken up the MSME packages that they rolled out in 2018, and 14,665 have been trained on business management skills.
“To date we have disbursed over Kshs. 25 Billion to MSMEs through our E-Credit solution.”
Co-op Consultancy & Bancassurance Intermediary Limited posted a Profit Before Tax of Kshs 648 Million as of 30th September 2021, riding on strong penetration of Bancassurance business.
Co-operative Bank of South Sudan, a joint venture (JV) partnership with the Government of South Sudan (Co-op Bank 51% and GOSS 49%) returned a monetary loss of Kshs 104 Million in Q3 2021 attributable to hyperinflation accounting due to currency devaluation of the South Sudanese pound.
Meanwhile, Co-op Trust Investment Services contributed Kshs. 92.3 Million in Profit Before Tax in Q32021, with Funds Under Management standing at Kshs. 187.1 Billion compared to Kshs. 123.7 Billion as at Q32020.
Kingdom Bank Limited (formerly Jamii Bora Bank) has contributed a Profit Before Tax of Kshs. 413 Million in Q32021. This is compared to the 2020 full-year loss of Kshs. 124 Million.
“Co-op Bank holds a controlling 90% equity interest in Kingdom Bank, a fully-fledged commercial bank regulated by the Central Bank of Kenya with over 444,000 customers and 17 branches.”