Connect with us

Hi, what are you looking for?

Capital Business
Capital Business
Announcement of the results/COURTESY

Kenya

Stanbic records 10pc decrease in full year profits for 2016

Announcement of the results/COURTESY

NAIROBI, Kenya, Feb 24 – Stanbic Bank has recorded 10 per cent decrease in 2016 full year net profit to Sh4.4 billion.

Management attributes the decline to a decrease in revenue in South Sudan operations as the effects of political unrest continue to negatively impact the South Sudan Economy.

Stanbic Bank Chief Executive Philip Odera told investors on Friday morning that increased regulation in the banking sector and a depressed stock market also impaired the group performance.

“A decrease in SBG Securities revenues in the current year following decreased activity in the Nairobi Securities Exchange affected the business. Growth in impairment charges due to increased general debt provisions aligned to challenging operating environment also affected our bottomline,” Odera said.

However, customer deposits grew by 12 per cent to Sh119 billion while the bank’s loan book went up by 19 per cent to Sh115 billion.

Total Assets hit Sh214 billion in the period under review.

Net interest income also increased year on year by 17 per cent to Sh10.8 billion boosted by a 10 per cent growth in customer loans and advances and improved margins within the first three quarters of the year.

Odera says even with the critical changes in the financial sector, that include proposed new capital requirements in the finance bill by the CBK Change in the US foreign Policy as well as Brexit, the sector is resilient enough to overcome.

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...

Headlines

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

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...

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

Coronavirus

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

Headlines

NAIROBI, Kenya, Mar 16 – The World Bank has given the Kenyan government USD 60 Million (Sh6.1 billion) to help combat the deadly coronavirus pandemic...