Chase Bank (K) Ltd announces its financial results for the year ended 31st December 2014.
According to the Bank’s Chief Executive Officer Paul Njaga, the bank has managed to record impressive growth in all its financial metrics. This was supported by a stable macro-economic environment, continued focus on the Small and Medium Enterprise (SME) segment of the bank and improved customer service.
The performance of the Bank saw it record another year of impressive growth in Net Profit to Kes.2.4Bn compared to Kes.1.6Bn in 2013 reflecting a 48% year on year growth in profitability.
Total Operating Income rose 48% to Kes.10Bn underpinned by notable growth in both Interest and Non-Interest Income. The sustained growth in Loans and Advances saw the Bank’s Net Interest Income rise to Kes.7.2Bn which is a 40% growth over a similar period in 2013. Over the period in consideration, Non-Interest Income recorded an outstanding 74% growth to Kes.2.8Bn.
The Bank recorded a 39% growth in Total Assets at the end of the financial year in 2014 to Kes109Bn compared to a similar period in 2013. This was supported by a 38% growth in Net Loans and Advances to Kes.57Bn. According to Mr. Njaga, the bank is committed to continue providing its customers with credit solutions that are suited to their needs. The Bank recorded an impressive 50% growth in Customer Deposits to Kes.80Bn over the same period.
In order to support this growth, the Bank strengthened its capital base in 2014 by raising Kes.1.3Bn through a rights issue and Kes.9Bn in long term debt from their partners International Finance Corporation (IFC), FMO (Dutch Development Bank), Micro Finance Enhancement Fund, OeEB, among others. Mr Njaga said ‘’We will continue to review our capital requirement in 2015 and ensure we have adequate headroom to cover regulatory requirement as well as fund our growth strategy’’.
The bank has continued to invest on its digital banking strategy. Mr Njaga said ‘’We continue to see rapid growth in usage of our alternate service delivery channels and self-service platforms as customers opt for convenience through our reliable mobile phone banking “Mfukoni” offering as well as our internet banking solutions.”
Our growing branch presence and agency network have also contributed immensely to our good financial performance noting the significant increase in customer numbers to close to 140,000 from 50,000 in at the close of 2013.’’
Looking forward to 2015, the bank looks to leverage on its position in the industry as the Relationship Bank and maintain its focus on its purpose of making a difference in customers’ lives through innovative financial solutions. Improved service delivery will continue to be a key focus area in the new phase of the bank’s growth strategy.
