PAY ATTENTION: TUKO is in WhatsApp Channels now! Subscribe and read news in favourite messenger.
Equity Bank has recorded a KSh 16 billion profit after tax for the period ending March 2024.
Results for the bank signify improved performance after the lender recorded a decline in profit for the year ended December 2023.
Speaking during the release of the results, Equity Bank CEO James Mwangi said the new trend was due to an increase in deposits, expansion of networks, growing customer base (20 million), and a rapidly growing insurance business.
PAY ATTENTION: Share your outstanding story with our editors! Please reach us through news@tuko.co.ke or WhatsApp: 0732482690.
"The new life insurance business took a strong start with robust growth in its second year of operations. Profit after tax grew 106% to KSh 321 million, while total insurance assets grew by 288% to close at KSh 20.8 billion.
Return on average Equity grew 25% to 54% up from 43% whilst posting a positive Insurance Service Result, indicative of strong underwriting practices," said Mwangi.
Mwangi noted that 63% of the profits came from Equity Bank operations outside the country. The bank operates in Uganda, Rwanda, Tanzania, South Sudan, and DRC.
"We are no longer a Kenyan lender, we are a regional lender," Mwangi continued.
During his address, Mwangi noted that cases of fraud were still a concern but assured that the bank had embarked on hiring a strong team to deal with the menace.
"We have beautiful ranking globally and our internal control environment must match that. It has been embarrassing seeing our customers being social engineered and losing money...we have told them they must find a solution," the CEO said.
Globally, the brand has been recognized as the world’s second-strongest financial brand, while regionally, the brand is rated Africa’s strongest banking brand and East Africa’s most valuable brand.
Towards the end of 2023, the bank announced its profits had dropped due to several factors, among them non-performing loans, which had grown from 9.8% to 12.2%, and a strengthened US dollar as of then.
Proofreading by Nyambura Guthua, journalist and copy editor at TUKO.co.ke
PAY ATTENTION:check out news exactly for YOU ➡️ click on “Recommended for you” and enjoy!
Video Of Hawkers Selling PPEs As Raincoats Amuses Netizens: "Bora It's Waterproof"
Jacky Vike Amuses Rwandans With Classy Glow-Up During Basketball Match: "Stunner"
Parts Of Canadian City In Oil Sands Region Evacuated As Wildfire Draws Near
Equity Bank CEO James Mwangi.
Equity Bank Bounces Back after Decline in Profit, Records KSh 16b
Equity Bank | EQUITY GROUP HOLDINGS REGISTERS KSH 26.3 BILLION PROFIT