Family Bank appears poised to reclaim its position as the fastest growing local bank, after announcing a 345% jump in its Profit Before Tax (PBT) in the first quarter of 2019. In its published results, the Bank has declared a PBT of KES 230 Million in the quarter, compared to KES 51 Million declared in the same period last year.
The Bank’s net interest margin grew 14% to hit KES 1.14 Billion as a result of higher interest income from accelerated lending activity. Non-interest income also grew 10% to KES 652 Million, mainly from fees and commissions driven by increased usage of the Bank’s digital channels.
Key balance sheet figures have also registered impressive growth with the Banks deposit book growing 11% to hit KES 52 Billion at the end of March 2019, up from KES 47 Billion reported over the same period in 2018. The loan book also grew by KES 1.4 Billion to hit KES 45.6 Billion as at March 2019.
The Bank’s Chairman, Dr. Wilfred Kiboro said the performance is a testament to the renewed confidence from the Bank’s customers and is also a direct outcome of the Bank’s innovation-driven strategy, and of the operational efficiencies derived from ongoing product and process automation programs.
“Our customers have shown us great loyalty and a renewed confidence. Indeed we are optimistic about our prospects for 2019 and beyond. We have put in place a customer-centered strategy, pegged on innovation leveraging on technology, promotion of business-to-business (B2B) solutions for SMEs and renewed focus on specific value chains. We will continue to invest in our digital channels to deliver an even more enhanced mobile and online banking experience. We are very proud that our Bank has been nominated for the prestigious African Banker Awards for innovation in June 2019. We are indeed on the right path.” he added.
The positive story of the Bank’s first quarter performance affirms Family Bank’s full turnaround from loss making territory in 2017.