•The group balance sheet grew steadily with the total assets increasing by 13% to Sh533 billion in the period under review.
•Operating income grew by 21% driven by a 38% increase in net interest income.
I&M Group profits for the fist quarter of 2024 has hit Sh3.32 billion, a 31 per cent increase from the Sh2.5 billion posted in a similar period in 2023.
The performance was boosted by a rise in interest income which grew by 38 per cent to Sh8.39 billion.
The increase in net interest income compensated for a 9.4 per cent decline in non-interest income, which fell to Sh3.16 billion.
Operating income was driven by significant growth in corporate and retail segments that saw increases of 58 and 33 per cent, respectively.
Notably, the Group's balance sheet grew with the total assets increasing by 13 per cent to Sh533 billion.
I&M Group Regional CEO Kihara Maina said the growth in profit was as a result of customer centricity and digital transformation within the Bank's new Imara business model.
“The year on year increase from 18 per cent to 24 per cent in the subsidiary markets’ contribution to the Group’s profit before tax is an indicator that our iMara 3.0 strategy is off to a strong start,” Maina said.
As a result of the enhanced customer service approach, the firm recorded an 18 per cent increase in customer deposits.
Current & Savings Accounts (CASA) and term deposits also posted growths as a result of increased focus on product innovation and digitisation.
The net Non-Performing Loans stood at Sh14 billion.
The Kenyan subsidiary recorded a 28 per cent increase in gross profit resulting from growth in net interest income and decline in loan loss provisions.
Additionally, the Bank posted an operating income growth of 17 per cent year on year, and a 12 per cent increase in operating profit.
New bank customer numbers grew by 239 per cent compared to same period last year.
Generally, the regional subsidiaries continued to grow steadily, with operating income contribution increasing to 30 per cent from 27 per cent in 2023.
I&M Rwanda reported a 46 per cent increase in operating income and a strong 107 per cent increase in gross profit in the period under review.
In Tanzania, the Bank recorded a 43 per cent increase in operating income to close at Sh1 billion, and 99 per cent increase in operating profit on the back of growth in total assets of 10 per cent.
I&M Uganda posted growth in operating income of 11 per cent and an operating profit growth of 26 per cent.
The Group’s joint venture investment in Mauritius, Bank One, recorded a growth of 25 per cent in operating income year on year.