Connect with us

Hi, what are you looking for?

Capital Business
Capital Business

Kenya

HF brings home Sh353 profit

NAIROBI, Kenya, Oct 25 – Housing Finance has posted a 67.2 percent growth in pre-tax profit for the third quarter ended September 2010 boosted by a strong growth in lending and interest income.

The mortgage financier in the country reported a return of Sh353 million for the first nine months of the year, compared to Sh211 million posted during the similar period last year.

The group recorded an after-tax profit of Sh250 million compared to Sh139 million recorded in the corresponding period last year.

"Net loans and advances to customers during the period under review increased to Sh18 billion up from Sh13 billion. Net interest income as a result increased to Sh1.03 billion up from Sh837 million the previous year. Customer deposits increased to Sh18 billion up from Sh12 billion the previous year," a statement from the firm said.

Managing Director Frank Ireri said the firm expects further growth during the end of the year and into 2011, driven by a robust demand for mortgages, favourable interest rates and the successful bond that netted over Sh7 billion.

Mr Ireri said the introduction of agency banking is expected to reduce the cost of offering banking services and at the same time boost the deposit mobilisation campaign for the company.

"The introduction of current accounts and agency banking will raise Housing Finance into the same level as the commercial banks and hence open doors for more business and expansion opportunities," he said.

Housing Finance is involved in mortgage lending and financing of a range of residential and commercial properties that includes office space, retail shopping centers, industrial usage, hospitality and educational use.

The firm has successfully positioned itself as the main player in the property value chain under an ambitious property supply strategy.

Advertisement. Scroll to continue reading.

The plan involves targeting developers, land owners, professional service providers and construction material providers.
 

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...