NAIROBI, Kenya, Mar 6 – Stanbic Holdings Plc posted a profit after tax of Sh12.2 billion in the full year ending December last year, buoyed by high net interest earnings, strong trading volumes, and balance sheet growth.
This represented a 34 percent jump compared to a similar period in 2022.
Whereas net interest revenue grew 35 percent to Sh25.6 billion, customer deposits grew by 20 percent to Sh261 billion during the period.
Likewise, non-interest income also expanded on account of increased volumes and better margins of foreign exchange revenue.
Investment banking fees and mobile money fees also contributed to the profit growth.
“Despite facing a challenging business environment marked by heightened currency and inflationary pressure, rising interest rates and geopolitical tensions, the Group delivered strong financial results,” Stanbic Bank Kenya and South Sudan Chief Executive Joshua Oigara said.
“This demonstrates resilience in our business model underpinned by diligent execution of our strategy. We remain committed to our purpose of driving Kenya and South Sudan’s growth, more so as we transition to our new 3-year strategy,” said Oigara.
In the review period, the costs-to-income ratio stood at 43.5 percent, down from 46.7 percent in the previous year, evidencing continued focus on efficiency in the business.
“Today’s results are demonstrable proof that our three-year strategy yielded a positive and sustainable growth trajectory delivering 39%, 26% and 34% growth in profitability in 2021, 2022 and 2023 respectively,” the bank’s Chief Financial and Value Officer, Dennis Musau, stated.
“Our deliberate focus on transforming client experience, institutionalising operating efficiencies and focus on sustaining our returns are the underlying pillars to these outcomes,” Musau added.
Stanbic’s operation in South Sudan also remained profitable amidst a challenging operating environment.
