I&M Group’s first quarter report of this year shows that the bank has a profit of KSh3.32 billion, an increase of 31 per cent from the KSh2.5 billion recorded last year.
Interest income, which grew by 38 per cent to KSh8.8 billion, greatly influenced the profit growth. The growth in net interest income offset a 9.4 per cent decrease in non-interest income, which declined to KSh3.16 billion.
The Group’s operating income was propelled by a substantial rise in corporate and retail segments which grew by 58 per cent and 33 per cent respectively.
Operating income also increased by 17 per cent. The bank also posted a 12 per cent increase in operating profit. The bank’s assets also grew 13 per cent to Ksh533 billion.
The increase in profit at I&M Group was attributed to a focus on customer-centricity and the implementation of digital transformation within the bank’s new Imara business model, according to Kihara Maina, the Regional CEO.
“The year on year increase from 18 per cent to 24 per cent in the subsidiary markets’ contribution to the Group’s profit before tax is an indicator that our Imara 3.0 strategy is off to a strong start,” Maina said.
READ ALSO:
The firm has recorded an 18 per cent growth in customer deposits thanks to the improved focus on customer service. The new bank customer numbers also grew by 239 per cent as compared to same period last year.
I&M Rwanda witnessed a 46 per cent surge in operating income and an impressive 107 percent increase in gross profit during the reviewed period.
In Tanzania, the bank achieved a 43 per cent rise in operating income, reaching KSh1 billion, and a remarkable 99 per cent growth in profit due to a 10 per cent increase in total assets.
I&M Uganda experienced an 11 per cent growth in operating income and a 26 per cent increase in profit.
The Group’s joint venture investment in Mauritius, known as Bank One, recorded a 25 per cent growth in operating income.
By Frank Mugwe
Get more stories from our website: Sacco Review.
For comments and clarifications, write to: Saccoreview@
Kindly follow us via our social media pages on Facebook: Sacco Review Newspaper for timely updates
