Barclays Bank of Kenya has posted a 2% increase in profit after tax to Kshs 5.4 billion for the period ended 30 September 2018, supported by growth in income, lending and customer deposits.
Total income rose 6% to Kshs 23.9 billion, while non-funded income climbed 14% year on year. Interest income increased 8% to Sh 21.7 billion, but interest expenses also moved up sharply by 30% to Sh 5.2 billion.
The bank’s loan book expanded 7% to Sh 178.4 billion, and customer deposits grew 10% to Kshs 220 billion. Transactional accounts accounted for 66% of total deposits, pointing to a stronger share of low-cost funding.
Gross non-performing loans rose 22% to Sh 14.6 billion. At the same time, the lender increased its investment in government paper by 30% to Sh 74.6 billion.
Impairment charges were 21% higher than in the same period the previous year, a rise the bank linked largely to the adoption of IFRS 9.
Barclays Bank of Kenya Managing Director Jeremy Awori said the lender remained on course under its new five-year strategy. “In conclusion, Barclays Kenya is well positioned for the future as underpinned by our new 5-year strategy which is focused on driving Growth, Transformation and Returns. We would like to thank all our stakeholders for the support in in the year and remain optimistic in the remaining part of 2018.”
