Co-operative Bank of Kenya Q3 Net Profit Drops 10% to KSh9.8 Billion

Co-operative Bank of Kenya Q3 Net Profit Drops 10% to KSh9.8 Billion

The Co-operative Bank of Kenya Ltd has recorded a net profit of KSh KSh9.8 billion in the third quarter of 2020.

This is a 10% drop from KSh10.9 billion a year earlier which was attributed to a sharp rise in loan loss provisions and a drop in non-interest income.

Coop bank’s total non-performing loans in the third quarter expanded to KSh34.2 billion from KSh24.8 billion, a 37.8% increase. 

“We continue to actively engage our customers to support them through this period, by re-aligning the servicing of facilities, funding and transactional needs as the situation unfolds,’’ Managing Director Gideon Muriuki said.

The lender’s operating income grew by six percent from KSh35.2 billion to KSh37.2 billion while net interest income grew by 12 percent from KSh21.2 billion to KSh23.6 billion.

Net loans and advances book grew by six percent KSh15.4 billion from KSh268.9 billion to KSh284.2 billion.

Shareholders’ funds grew to Sh82 billion from KSh73.9 billion in 2019

The lender’s total assets increased by 15.9% to KSh510.9 billion while total liabilities increased by 16.9% to KSh427.2 billion.

Other tier-1 listed lenders that have reported a drop in profits include Equity Bank Group, KCB Group Plc , Absa Bank Kenya.

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