Co-operative Bank subsidiaries recorded impressive financial results in the full year 2024. An analysis of the financial results that were released by the bank this month shows that the bank’s main four subsidiaries recorded profit before tax growths in the year under review.
For instance, Kingdom Bank Limited, a subsidiary of the bank that caters for the micro small and medium enterprises sector recorded a profit before tax of Sh1.07 billion in the full year 2024.
At the same time, Co-op Bancassurance Intermediary Ltd came in with the biggest contribution amongst all subsidiaries. The insurance arm of the bank brought in a profit before tax of Sh1.2 billion, riding on strong penetration of the bank’s Bancassurance business. In the previous year 2023, Co-op Bancassurance Intermediary Ltd had posted a profit before tax of Sh. 877.1 million.
Further analysis shows that the bank’s Co-op Trust Investment Services Ltd contributed Sh386.4 million profit before tax in the year under review. This was an improvement from the Sh226 million that Co-op Trust Investment Services had contributed in the full year 2023. This improvement represented a growth of 71 percent.
Currently, the subsidiary has funds under management of Sh381 billion. In the previous period, this subsidiary had funds under management totaling Sh. 218.4 billion.
Co-operative Bank of South Sudan made a profit before tax of Sh453.8 million. This performance was however restated to reflect the changes in general purchasing power of the South Sudanese Pound resulting in a profit of Sh11.1 million. Co-operative Bank of South Sudan is a unique joint venture partnership with Government of South Sudan (GOSS), in which Co-op Bank holds a 51 percent stake and the GOSS has a 49 percent stake.
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The performances by Co-op Bank subsidiaries coupled with the bank’s main performance culminated in a growth that saw Co-op Bank record net profit of Sh25.5 billion. This full year profit after tax represented a growth of 9.8 percent from the Sh23.2 billion net profit that the bank posted in the same period the previous year.
During the year under review, shareholders’ funds grew to Sh145.4 billion, a 28 percent increase from Sh113.6 billion in 2023 driven by the strong growth in retained earnings of Sh16.7 billion.
In turn, this growth saw the bank announce that it will pay out a total dividend of Sh1.50 per share for the full year 2024.
