I&M Group Plc reported a 25.1 per cent increase in consolidated net profit from Ksh.4.6 billion Ksh 5.7 billion as a result of strong growth in interest income and a decline in interest expenses, both of which aided to improve the firm’s net interest margin.
The group’s net interest income rose by 34 per cent from Ksh 10 billion to Ksh 14 billion on account of improved earnings from government securities and a reduction in interest expenses.
Total operating expenses increased by 28 per cent to Ksh9.7 billion as a result of Increased investment in digitization.
The Group’s asset base rose by 16 per cent to Ksh 399 billion due to increases in the loan book and investments in government securities.
The loan portfolio grew by 12 per cent to Ksh 208 billion while the Group’s Net Non-Performing loans stood at Ksh 7.5 billion.
“These results showcase the positive outcome of our strategy to drive business growth, build resilience and optimise operational efficiency across the Group,” Daniel Ndonye, I&M Group PLC Chairman said in an emailed statement.
“The actions taken by the Group to improve its operating efficiencies and financial returns, as well as the gradual economic recovery, have placed it on a strong upward growth trajectory.”
The Group has a presence in Kenya, Rwanda, Uganda, Tanzania and Mauritius.
“The rebranding of Orient Bank to I&M Bank Uganda marks a key milestone in the Group’s strategic journey to extend its footprint across Eastern Africa,” I&M Group Executive Director, Mr Sarit Raja Shah.
The Group’s Tanzanian subsidiary I&M Bank Tanzania has partnered with Airtel Tanzania and YABX to launch a mobile money borrowing and/or overdraft facility service, dubbed “Kamilisha”. The partnership enables customers to complete their transactions seamlessly, even in cases where they do not have sufficient funds in their Airtel Money wallets at the time of purchase.
