Bank M profit surges on higher interest income

“This follows an increase in loans and advances that grew by 19 per cent to Sh798.13 billion from Sh668.58 billion,” Bank M’s chief executive officer designate, Ms Jacqueline Woiso said.

What you need to know:

  • The bank’s financial results show that interest income grew by a cool Sh22.3 billion to reach Sh94.7 billion.
  • As a result, Bank M’s profit before tax reached Sh23.54 billion from Sh17.49 billion in 2015.

Dar es Salaam. Bank M’s pre-tax profit rose by 35 per cent in 2016 as the ten-year old bank braved a challenging environment to grow its loan book.

The bank’s financial results show that interest income grew by a cool Sh22.3 billion to reach Sh94.7 billion.

As a result, Bank M’s profit before tax reached Sh23.54 billion from Sh17.49 billion in 2015.

Profit after tax also increased to Sh15.55 billion.

“This follows an increase in loans and advances that grew by 19 per cent to Sh798.13 billion from Sh668.58 billion,” Bank M’s chief executive officer designate, Ms Jacqueline Woiso said.

The growth also pushed the Corporate and Investment bank’s total assets to Sh1.05 trillion.

According to the released financial statement, total deposits with Bank M reached Sh865.09 billion as at 31st Dec 2016 from Sh759.19 billion in 2015.

Revenue from non-interest income remained unchanged at Sh23.63 billion, the same as in 2015.

“We are happy with our 2016 performance….We believe that 2017 will be even better,” said Ms Woiso.

Opened in 2007, Bank M has grown considerably during the years to become the 7th largest bank in terms of balance sheet size in a market of over 50 players.

It also ranks 9th in terms of profitability.