KCB Group Q1 2023 Profit Soars to KES 9.8 Billion: A Detailed Look
KCB Group Plc has announced a profit after tax of KES 9.8 billion for the first quarter of 2023. The impressive performance is attributed to increased revenues, with total assets hitting KES 1.63 trillion, marking a 39.8% increase. (Full Document Here)
The Group’s revenue rose by 26.9% to KES 36.9 billion, primarily driven by non-funded income from customer transactions across the Group network and the consolidation of Trust Merchant Bank (TMB), the Group’s newest subsidiary in the Democratic Republic of Congo.
The contribution of Group businesses, excluding KCB Bank Kenya, to the overall profit increased to 35% from 17.2%, demonstrating the effectiveness of the Group’s regional expansion strategy. The contribution to total assets also improved, closing the period at 38.2%.
“Our focus was on delivering value and support to customers to help them navigate the tough economic environment, while driving revenue growth for the Bank,” said KCB Group CEO Paul Russo. “The first quarter performance highlights the resilience of the business across the corporate and retail franchises. The regional businesses performed well, giving credence to the regional expansion strategy.”
The Group has also been enhancing its customer value propositions. Last month, KCB Bank Kenya and National Bank of Kenya signed a distribution deal with Sanlam Life Insurance to deepen the uptake of life insurance products in the country. This partnership will allow customers to access a full range of financial and investment products within the banks’ combined 300 branches.
In addition, the Group has deepened its support to the micro, small and medium-sized enterprises (MSMEs), which power the bulk of the businesses across the region. To avail more lending to this key segment, the Bank revised terms for key products for working capital as well as asset-based finance.
The Group has unveiled a new brand purpose, “For People, For Better,” seeking to position the brand as the region’s undisputed financial services leader which puts people and their diverse needs first.
On social impact, the Group continues to spearhead and mobilize support for various citizen-driven engagements across the region. The high school scholarship program also continued with its scale up reaching 1,326 high school student beneficiaries this year and 217 tertiary scholars from disadvantaged backgrounds.