Companies

Sidian Bank profit up 3pc in three months

sidian-pic

Sidian Bank chief executive officer Chege Thumbi during an interview in Nairobi on March 26, 2018. PHOTO | NMG

Sidian Bank has posted three percent rise in net profit for the first quarter to Sh117.35 million, helped by an increase in interest income from loans and advances and government securities.

The lender, in which Centum Investment holds a 72.93 percent stake, saw its total interest income in the three months to March grow 26.4 percent to Sh970.96 million as the loan book expanded 13.3 percent to Sh23.3 billion.

Investment in government securities also rose by 83.2 percent to Sh12.1 billion.

Non–interest income from fees and commissions rose by 9.7 percent to Sh366.8 million helping improve the performance of operating income by 14.2 percent to Sh812.2 million.

However, operating expenses grew by 17.5 percent to Sh644.5 million on the back of a rise in loan provisions to Sh95 million, more than double the Sh37.5 million recorded in the previous quarter, eating into its bottom line.

Read: Sidian bucks trend on branch closures, opens 43rd in Kamakis - VIDEO

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