Family Bank Group has reported Ksh3.2 billion profit before tax in the third quarter of 2024.
The unaudited financial statements show that Family Bank Group’s profit before tax for the nine months of 2024 grew by 8 per cent up from Ksh3.02 billion in the same period last year.
Family Bank CEO Nancy Njau said the growth was driven by a significant increase in income across various revenue streams.
“Our focus for this year has been to accelerate business growth and optimize value creation across all areas of operation. The growth in profit underscores our unwavering commitment to delivering on strategic priorities while placing our customers at the core of our efforts,” Njau said.
The profit after tax, exceptional items and minority interests grew from Ksh2.1 billion to Ksh2.3 billion.
Family Bank Income & Assets
Total interest income surged by 29% to Ksh14.6 billion, buoyed by a 20% rise in income from loans and advances, which reached Ksh10.6 billion.
The loan book expanded by 11.3% to Ksh94.2 billion while the Bank’s investments in government securities recorded a 65% jump in interest income attributable to higher yields and growth of the portfolio.
Similarly, total assets grew by 16% to Ksh163.2 billion from Ksh141 billion in September 2023.
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Non-funded income rose by 13.2% to Ksh3.3 billion, with income from other fees and commissions increasing by 14.5%.
This contributed to an 11% increase in total operating income, supporting the bottom-line growth.
“By aligning our investments with the evolving customer needs and driving operational efficiencies, we continue to position the Bank for sustained growth as we offer our customers superior financial products and services,” Njau added.
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Investments & Loan Provisions
The Bank continued its investments in talent development, technology and digital transformation which saw operating expenses for the period rise by 12.4% to Ksh7.7 billion.
Meanwhile, loan loss provisions expense slowed down during the period by 40.6% compared to the previous year.
“As a Bank, we enhanced our buffers on the back of our improved portfolio metrics. We continue to work hand-in-hand to support all our customers including those who may be facing any challenges in meeting their obligations,” she said.
The Bank’s liquidity and total capital ratios stands strong at 43.9% and 16.5%, well above the regulatory requirements of 20% and 14.5% respectively.
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