News Column

Stanchart Posts Rise in Q1 Pre-Tax Profit to Sh3.6 Billion

May 29, 2014

Kennedy Kangethe

Standard Chartered Bank has posted a 31 percent increase in its pre-tax profit for the period ended March 31, 2014 to stand at Sh3.6 billion compared to Sh2.7 billion recorded over the same period previously.

Total income went up 14 percent to Sh6.2 billion with loans and advances up by nine percent to Sh127.6 billion from Sh117.3 billion recorded in 2013.

Net interest income grew by 19 percent to Sh4.5 billion driven by strong growth in volumes but weighed down by the lower interest rates charged in line with falling interest rates in the market while total operating costs remained flat at Sh2.4 billion.

Commenting on the results, Standard Chartered Chief Executive Officer Lamin Manjang said the bank sees increased business opportunities as the country implements the devolved government structure and gears up to achieving the Vision 2030 goals.

Manjang said there are growth opportunities in infrastructure development and financing, energy and manufacturing and they will continue to invest in digital channels to deepen client reach.

Fees and commissions grew by 7 percent to Sh942 million on account of a higher number of large value transactions during the quarter while customer deposits increased by 5 percent to Sh149.6 billion from Sh143 billion in 2013.

Investment in government securities increased from Sh47.9 billion to Sh55.4 billion on the back of the growth in customer deposits.

For more stories on investments and markets, please see HispanicBusiness' Finance Channel

Source: AllAfrica