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Equity Group profits rise by 14% to Sh22.6 billion

The growth in loan book, saw the Group balance sheet register a 17% growth.

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by STAR REPORTER

Coast20 March 2020 - 15:17
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In Summary


• The performance was driven by a 23% growth in loan book to Sh366.4 billion from Sh297.2 billion in 2018.

Equity Bank CEO James Mwangi.

Equity Group has announced the financial results for the year ended December 31, 2019 that reflect a 14% profit after tax growth to Sh22.6 billion from Sh19.8 billion in 2018.

The performance was driven by a 23% growth in loan book to Sh366.4 billion from Sh297.2 billion in 2018.

The growth in loan book, saw the Group balance sheet register a 17% growth to reach Sh 673.7 billion up from Sh573.4 billion funded by a growth in customer deposits of 14%, shareholders funds of 18% and a 26% growth of long-term borrowed funds.

Speaking during the release of the Group’s results on Friday, CEO James Mwangi said, "Execution of the Group’s business strategy continued to yield results as non-funded income contributed 40% of the Group’s total income reflecting quality and diversification of income. Success in our regional expansion and business diversification saw subsidiaries contribution to Group profit after tax rise to 18% up from 15% the previous year.”

Innovations and digitisation continued to transform the business from a place you go to, to something you do. The business model continues to evolve from a fixed to a viable cost business model.

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