This archive report was first published on 17 June 2020.
On June 17, 2020, Cytonn Financial Services released a report analyzing the financial performance of listed banks in Kenya for the first quarter of 2020. The report ranked Co-operative Bank of Kenya as the second-best financial institution in the country.
Despite the challenging operating environment, the banking sector showed resilience, with Co-operative Bank improving its ranking from third position in the previous year. This improvement was attributed to a decrease in its Gross NPL ratio from 11.2% in FY'2019 to 10.8% in Q1'2020.
According to the report, Co-operative Bank's improved franchise value score was a key factor in its rise to second position. However, the report also highlighted that banks reported a decline in the quality of their loan books due to compliance with new accounting rules and a cautious stance to mitigate the impacts of COVID-19.
Co-operative Bank's improved ranking is a testament to its strong financial performance and ability to adapt to changing market conditions.
