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Eng. Albert Mugo, Chair, Stima Sacco: This year’s performance is satisfactory despite the challenges emerging from the global financial markets and domestic regulatory changes

Finance

Stima Sacco issues Sh1.2Bn in dividends, deposits hit Sh19Bn

Eng. Albert Mugo, Chair, Stima Sacco: “This year’s performance is satisfactory despite the challenges emerging from the global financial markets and domestic regulatory changes.”

NAIROBI, Kenya, Apr 1 – Stima SACCO has announced a Sh1.2 billion shilling dividend payout to its shareholders.

Each shareholder will be paid at 14 percent per paid up share compared to 12 percent paid in 2015, with the top individual shareholder taking home Sh3.7 million on deposits of Sh32 million.

The Sacco subsequently posted a surplus before tax of Sh547.36 million up from Sh288.84 million in 2015. This represents an 89 percent growth in pretax profit for the year under review. During this period membership grew by 58 percent from 55,854 in 2015 to 88,110 in 2016.

This represents an 89 pc growth in pretax profit for the year under review. During this period membership grew by 58 percent from 55,854 in 2015 to 88,110 in 2016.

The turnover grew from 2.66 billion in 2015 to 3.40 billion in the year under review, a growth of 28 percent. Eng. Albert Mugo, Chairman Stima Sacco & MD KenGen, attributed the impressive performance to an aggressive growth on the loan portfolio.

“Total members’ deposits increased by Sh3.1 billion, a 20 percent increase in 2016, from Sh15.9 billion in 2015 to Sh19.0 billion. The alpha deposits increased by Sh2.8 billion, while the deposits in the members’ savings accounts by Sh457 million”

“As a result of our relatively good performance and in line with our retention policy and strategy, total comprehensive income for the year 2016 was Sh417 million compared to Sh289 million in 2015,” said Eng. Mugo.

Speaking in his capacity as the Chief Guest during the meeting, the CEO for SASRA, Mr. John Mwaka, noted that Stima Sacco should leverage on technology to deliver quality services to its members.

“The Sacco should reemphasize the reason for its existence and develop products and services tailored towards achieving this goal.”

He applauded the Sacco for its excellent performance and urged the board to continuously place shareholders’ interests first in all its decisions.

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The SACCO’s balance sheet grew by Sh4.2 billion (21 per cent) to stand at Sh24.5 billion up from Sh20.3 billion in 2015 as lending increased by 29 per cent from Kshs 16.3 billion in 2015 to Kshs 21.03 billion.

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