This archive report was first published on 20 May 2020.
Published on May 20, 2020, KCB Group's financial performance for the quarter ended March 31, 2020, showed a significant increase in net earnings.
The lender's net earnings rose 8% to KSh 6.3 Billion, compared to KSh 5.8 Billion posted at the end of March 2019.
The acquisition of National Bank of Kenya in October 2019 contributed to the bank's increased assets.
According to its unaudited financial statements, KCB's loans to customers increased from KSh 464.3 Billion in March 2019 to KSh 553.9 Billion in March 2020.
The Group's balance sheet grew from KSh 725.7 Billion to KSh 947.1 Billion during the period under review, with customer deposits increasing significantly from KSh 552 Billion to KSh 740 Billion.
Interest income on loans advanced to customers increased from KSh 13.4 Billion to KSh 14.7 Billion, pushing up total interest income to KSh 20.2 Billion from KSh 16.8 Billion.
However, the COVID-19 pandemic led to an increase in loan loss provisions from KSh 1.2 Billion to KSh 2.9 Billion, and the portfolio of non-performing loans rose significantly from KSh 38.8 Billion to KSh 66.2 Billion.
