Equity Bank Group has announced a net profit of Sh. 46.1 billion for the full year 2022. According to Equity Bank Group chief executive officer Dr. James Mwangi, this represented a 15 per cent year-on-year growth.
This profit was derived from a profit before tax of Sh. 59.8 billion in the financial year under review.
Non performing loans stood at 7.7 per cent against an industry average of 13.3 per cent. “This means we are at 50 per cent above the industry standards,” said Dr. Mwangi.
At the same time, Equity Group’s total income for the financial year 2022 grew by 28 per cent to Sh. 144.3 billion, with net interest income contributing 60 per cent, and non funded income 40 per cent to the total income.
Non-funded income grew by 33 per cent to close the year 2022 at Sh. 58.3 billion, while net interest income grew by 25 per cent to close the year at Sh. 86 billion.
During the year under review, said Dr. Mwangi, the One Equity Till Number (PWE), which now has over 800,000 merchants countrywide, recorded transactions valued at Sh. 524 billion. This represented a 281 per cent year on year growth.
“The ranking of Equity by Brand Finance as the 4th strongest banking brand in the world, is really an achievement that should encourage Africans to continue building their home grown enterprises, which can compete globally” said Dr. Mwangi.
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Following these results, the bank is now slated to pay out a dividend of Sh. 4 per share. This is up 33 per cent from Sh. 3 per share that was paid out in the previous financial year and a 9.5 per cent dividend yield, and a payout ratio of 33.6 per cent.