The Cooperative Bank declared an increase of 12.6 per cent in their full-year net profit. The increase of 12.6 percent means that the profit Cooperative bank made was Ksh 14.3 billion or thereabouts. The bank stated that the profit was majorly driven by double-digit growth in total operating income.
Meanwhile, Cooperative Bank Managing Director Mr. Gideon Muriuki stated that the bank plans to leverage on the 8.8 million account-holder base, digital banking, innovative financial solutions and multi-channel access to deepen its market share across the Banking Industry.
In 2019, Cooperative bank’s total operating income increased by 10.9 per cent to Ksh 48.46 billion. This is in spite of the net loans and advances increasing by 8.7 per cent to Ksh 266.71 billion while interest income from loans & advances decreasing by 3.5 per cent to Ksh 31.78 billion.
Nonetheless, Cooperative Bank increased investment in Government securities by a whooping 46.8 per cent which amounts to Ksh 117.8 billion. This shrewd business earned cooperative bank Ksh 11.35 billion in interest income from government securities, representing a 16 per cent increase on what the lender had in the previous year i.e. 2018.
On the expenses side, the Cooperative Bank announced that its interest expense was flat at Ksh 12.34 billion this is despite an 8.6 per cent growth in cash deposits which according to Mr Gideon Muriuki is a pointer to improved management by the bank in handling the cost of funds.
Subsidiary Business
Cooperative Bank's South Sudanese subsidiary recorded a Ksh 240.6 million in full-year pre-tax profit. However, Cooperative Bank announced that the profit translated to a monetary loss of Ksh 344.7 million. The reason for the loss is instability in South Sudan led to hyperinflation occasioned by currency devaluation of the South Sudanese pound.Another subsidiary of Cooperative Bank i.e. Co-op Consultancy & Insurance Agency accounted to Ksh 714 million to the group’s bottom-line.
Lastly, the Managing Director Mr. Gideon Muriuki stated that in 2019, about 90 per cent of customer transactions were offered on alternative delivery channels such as self-service kiosks, 24-hour contact centres, mobile banking, ATMs, internet and Co-op Kwa Jirani banking agents.
The bank disbursed loans worth Ksh 43.1 billion via the MCo-opCash Mobile Wallet. The board of the bank has recommended payment of one shilling per share in dividends.
In 2019, Cooperative bank’s total operating income increased by 10.9 per cent to Ksh 48.46 billion. This is in spite of the net loans and advances increasing by 8.7 per cent to Ksh 266.71 billion while interest income from loans & advances decreasing by 3.5 per cent to Ksh 31.78 billion.
Nonetheless, Cooperative Bank increased investment in Government securities by a whooping 46.8 per cent which amounts to Ksh 117.8 billion. This shrewd business earned cooperative bank Ksh 11.35 billion in interest income from government securities, representing a 16 per cent increase on what the lender had in the previous year i.e. 2018.
On the expenses side, the Cooperative Bank announced that its interest expense was flat at Ksh 12.34 billion this is despite an 8.6 per cent growth in cash deposits which according to Mr Gideon Muriuki is a pointer to improved management by the bank in handling the cost of funds.
Subsidiary Business
Cooperative Bank's South Sudanese subsidiary recorded a Ksh 240.6 million in full-year pre-tax profit. However, Cooperative Bank announced that the profit translated to a monetary loss of Ksh 344.7 million. The reason for the loss is instability in South Sudan led to hyperinflation occasioned by currency devaluation of the South Sudanese pound.Another subsidiary of Cooperative Bank i.e. Co-op Consultancy & Insurance Agency accounted to Ksh 714 million to the group’s bottom-line.
Lastly, the Managing Director Mr. Gideon Muriuki stated that in 2019, about 90 per cent of customer transactions were offered on alternative delivery channels such as self-service kiosks, 24-hour contact centres, mobile banking, ATMs, internet and Co-op Kwa Jirani banking agents.
The bank disbursed loans worth Ksh 43.1 billion via the MCo-opCash Mobile Wallet. The board of the bank has recommended payment of one shilling per share in dividends.