KCB Group shareholders have approved a Sh 9.64 billion total dividends pay-out for the 2021 financial year, signifying a sustained return to shareholders despite the pandemic impact on businesses.
At the 51st Annual General Meeting held virtually on Friday,the shareholders approved a final dividend of Sh2.00 per share as recommended by the board.
The dividend shall be paid on or before July 7, 2022, net of withholding tax to the shareholders who were on the register of members at the close of business on April 25, 2022.
KCB Group chairman Andrew Kairu said in spite of the challenging business environment last year, the business continued to generate returns for its shareholders.
“The Group made significant progress with our strategic priorities and delivered strong business and financial returns. This performance affirms the robustness of all other important aspects of our business,". Kairu said.
He said moving forward, the lender is determined to sustain growth, targeting to maintain return on average equity above 20 per cent as the operating environment continues to improve.
The Group has over the years grown a diverse shareholder base of 193,274 shareholders, 89 per cent of whom are local individual and institutional investors, while 11 per cent are foreign investors.
In 2021, the total shareholder return was 27 per cent significantly above the average inflation rate.
Kairu has thanked the outgoing CEO Joshua Oigara for his contribution in steering the lender to greater profitability and expanded footprint, over the nine and a half years he has been at the helm of KCB Group.
The board appointed Paul Russo as the new Group CEO, effective May 25, 2022.
Kairu said: “We have confidence that Paul will lead the organisation to even greater heights, drawing from his extensive experience in corporate management and strategy."
Russo has committed to deepen focus on enhancing service delivery and customer experience.
In the first quarter of 2022, the Group sustained the growth momentum to post a net profit of Sh9.9 billion for the period ending March.
The growth in profitability from Sh6.4 billion a year earlier was on the back of increased net interest income.
