The Equity Bank Group’s six months net profit has increased to Sh. 29.6 billion. This represented a marginal rise of 12 per cent. In the same period the previous year, Equity Bank Group’s six months net profit had risen by 7.8 per cent to Sh. 26.3 billion, supported by higher income from lending and transactions.
According to the financial results for the first half of the current financial year that were released on Monday, August 12, 2024, the bank’s subsidiaries contributed 50 per cent of the total profit after tax compared to the 42 per cent contribution from the previous year.
The bank’s balance sheet now stands at Sh. 1.756 trillion, representing a growth of 6 per cent over the same period last year. Customer deposits increased 11 per cent to Sh. 1.3 trillion while total assets increased 6 per cent to Sh. 1.75 trillion. Total income increase to Sh. 95.1 billion while net loans decreased by 3 per cent to Sh. 791.1 billion.
“The group’s regional subsidiaries have improved efficiency, contributing 47 per cent to the group’s balance sheet in terms of deposits and loans, and driving a 55 per cent revenue growth,” said Equity Group Holdings chief executive officer Dr. James Mwangi. “At the same time, 84 per cent of our transactions are now happening on digital platforms.”
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In the same period the previous year, non-funded income had increased by 41.2 per cent to Sh. 36.5 billion while foreign exchange trading income had gone up 68 per cent. Net interest income had gone up 16.5 per cent to Sh. 46.4 billion.
The bank’s loan book had expanded 25.6 per cent as interest income from its portfolio of government and investment securities had improved by 18.8 per cent due to higher yields on government securities and a 33.0 per cent increase in the holding of these securities.
Total assets had increased 23 per cent to Sh. 1.6 trillion, while loan-loss provisions net of recoveries had gone up 89 per cent to Sh. 6.3 billion in that half year period of the previous financial year.
