NCBA Group PLC has posted a profit before tax of KES 6.4 billion in its Q1 results ending March 31st 2023, which is a 32 per cent increase compared to KES 4.8 billion reported during a similar period last year.
The Group registered a profit after tax of KES 5.1billion representing 49 per cent growth up from KES 3.4 billion in Q1 2022.
Summary Key Highlights
▪ Assets grew to KES 629 billion, 7 per cent up year on year
▪ Customer deposits closed at KES 500 billion, 7 per cent up year on year
▪ NCBA Group disbursed KES 223 billion in digital loans, 37 per cent increase year on year
▪ Operating income of KES 15.5 billion, 18 per cent up year on year
▪ Operating profit before loan loss provisions of KES 8.3 billion, 10 per cent up year on year
▪ Provision for credit losses was KES 2.0 billion, 23 per cent down year on year
▪ Profit before tax of KES 6.4 billion, 32 per cent up year on year
▪ Profit after tax of KES 5.1 billion, 49 per cent up year on year
Growth in profitability was attributed to increase in operating income and a decline in loan impairment charges by 23 per cent. Despite the tough macro-economic conditions, the Group’s prudent management of credit risk has resulted in an improved NPL ratio and a reduced cost of risk.
Commenting on the results, NCBA Group Managing Director, John Gachora remarked, “These strong operating results are attributable to continued focus on our strategic priorities, growth in customer numbers and improvement in regional entities profitability. Our market leading forex capabilities have led to an increased customer base and transaction volumes.”
