This archive report was first published on 13 November 2019.
Kenya Commercial Bank Group has recorded a modest growth of 6% in its net profit for the period ending September 2019. The lender's profit after tax surged 6% to Sh19.2 billion from Sh18.0 billion realised the same period last year.
According to KCB Group CEO and MD, Joshua Oigara, the net earnings increased from Sh18 billion, a similar period last year, driven by cost management initiatives across all businesses. The international businesses have continued to improve while our digital offerings are witnessing increased activity, giving the business impetus to continue growing, he said.
“We had a strong quarter and the business witnessed growth across various segments. We made continued strong investments in our capabilities to serve customers better. The international businesses have continued to improve while our digital offerings are witnessing increased activity, giving the business impetus to continue growing,” said Mr Oigara.
Going forward, we are emphasizing on driving more sustainable growth, excellent customer experience and diversification, he added.
Despite a tough operating environment in the countries it operates in, the international business (excluding the Kenya subsidiary) posted improved performance. The combined after-tax profit increased 8% to Sh1.3 billion. Other than the Ugandan business, the rest of the four banking subsidiaries returned a profit.
The acquisition of the National Bank of Kenya (NBK) is expected to further cement the lender’s position in the domestic banking sector and strengthens its ability to access more business flows. On November 1, NBK announced profits before tax of Sh675 million for the period ended September 30, 2019, representing a 45% growth from a similar period in 2018.
