Family Bank Limited has reported an 84% rise in Net Earnings to KSh 1.2 Billion at the end of H1, 2021, compared to KSh 638.5 Million posted over a similar period last year.
This impressive performance now pushes Family Bank, a middle-tier lender, to the exclusive billionaires club.
The lender, who floated a corporate bond earlier this year, raising KSh 4.42 Billion, saw its balance sheet size grow significantly from KSh 86.9 Billion in H1, 2020 to KSh 100.1 Billion at the end of 30th June this year, surpassing the KSh 100 Billion mark for the first time.
Family Bank Financials
Net loans to customers increased from KSh 55.9 Billion to KSh 64.4 Billion over the period under review, while customer deposits defied a depressed COVID-19 affected economy to hit KSh 76 Billion from KSh 66.7 Billion at the end of June 2020.
Total Shareholders Funds, what owners of the lender will be paid after all debts have been cleared were it to go bankrupt, increased to KSh 14.5 Billion from KSh 12.9 Billion at the end of H1, 2020.
Earnings per Share(EPS), one indicator of a firm’s profitability, improved from KSh 0.50 in H1, 2020 to KSh 0.83 in H1, 2021.
Total Interest Income from loans, government securities and deposits with other financial institutions increased from KSh 4.1 Billion to KSh 4.9 Billion during the period under review.
Family Bank increased its provisions for loan losses from KSh 451.4 Million in H1, 2020 to KSh 614.9 Million in H1, as the lender sought to protect its loan book from defaulters.
Gross Non-performing loans increased from KSh 9.1 Billion to KSh 10.8 at the end of H1, 2021. The level of borrowings nearly doubled from KSh 3.5 Billion to KSh 5.9 Billion in H1, 2021.