DCB almost triples profit as interest income grows
The DCB Commercial Bank Plc chief of finance, Mr Zacharia Kapama, (centre), speaks in Dar es Salaam yesterday. With him is the head of marketing and commu-nications, Ms Rahma-Gemina Ngassa and chief internal auditor, Mr Deogratius Thadei. PHOTO|THE CITIZEN CORRESPONDENT
What you need to know:
- Net profit reached Sh1.012 billion during the first half, fuelled by growths in both interest and non-interest income streams. In the first six months of 2017, the profit was Sh338.93 million.
Dar es Salaam. The net profit for DCB Commercial Bank Plc has almost tripled during the first half of the current calendar year as the financial organisation starts improving from woes of the past two years.
Net profit reached Sh1.012 billion during the first half, fuelled by growths in both interest and non-interest income streams. In the first six months of 2017, the profit was Sh338.93 million.
“This is an indication that the bank’s operations are improving….the improvements are seen in both interest and non-interest income streams,” the DCB Commercial Bank Plc chief of finance, Mr Zacharia Kapama said in Dar es Salaam yesterday.
He said the improvement was an indication that the expansion and cautious approach, undertaken during the past few months, has started yielding positive results.
However, the financial statement also shows that total assets went down to Sh145.33 billion in the quarter ended June 30 this years from Sh148.56 billion during the previous quarter.
In executing its expansion plan, DCB Commercial Plc opened a branch in Dodoma and several service centres.
It took a cautious approach by injecting depositors’ cash in affordable avenues.
The bank also improved and expanded its digital platforms thereby netting an increased number of agents and clients.
“As a result, the bank issued an increased amount in loans,” he said. The number of customers rose to 191,133 during the first half of 2018 from 188,305 in December 2017.
Total loans reached Sh93.7 billion during the first half of 2018, from Sh88.7 villion during in December 2017.
The 16-year old bank was established by Dar es Salaam City Council in partnership with the city’s then three municipal councils of Temeke, Kinondoni and Ilala.
Even after it went public by listing its shares at the Dar es Salaam Stock Exchange (DSE) in 2008, the four retained a reasonable shareholding in the bank. DCB Commercial Bank Plc has been registering profits and issuing dividend to its shareholders for the 12 years from 2004 to 2015 but like other commercial banks, it also faced some challenges during the past two years.
