I&M Group PLC posted a profit of KSh6.1 billion in the first half of this year, a 21% growth from KSh5.03 billion during the same period last year.
- Operating income was driven by significant growth in the corporate and retail segments, which saw increases of 49% and 34% respectively.
- The Group’s balance sheet grew steadily, with total assets increasing by 12% over the same period in 2023 to close at KSh564 billion.
- The loan portfolio grew by 5% during the period under review to reach KSh284 billion in line with the group’s growth strategy for retail lending and growth in the subsidiary balance sheets.
Customer deposits closed at KES 419 billion, an 18% increase year on year as the Group continued focusing on product innovation and digitization.
“Our strategic focus on innovation, customer-centric solutions and market expansion is driving tangible results, allowing us to better meet the diverse needs of our customers while fostering economic empowerment in the markets we operate in. This growth is about building a resilient and inclusive future, where our customers and the communities we serve, experience a positive impact,” I&M Group Regional CEO Mr. Kihara Maina said.
The Net Non-Performing Loans stood at KSh15 billion from KSh18.4 billion in the prior year.
Operating income recorded a growth of 19% for the period under review, driven by a 35% increase in Net Interest Income while the Group’s operating profitability increased by 21% year on year to KSh11.9 billion.
Loan loss provisions closed at KSh3.5 billion up from KSh3.2 billion in the same period last year.
The Group’s operating expenses, exclusive of loan loss provisions, recorded an increase of 16% year on year to close at KSh10.8 billion, driven by continued investment in technology and people across all markets.
The Bank achieved a 113% growth in new to bank customer numbers compared to the same period last year, with the small businesses (MSME) customer base more than doubling during this time.
I&M Regional Growth
Regional subsidiaries of the Group continued to grow steadily, with operating income contribution increasing to 30% from 28% in 2023.
I&M Rwanda reported a 37% increase in operating income and a strong 59% increase in Profit Before Tax for the period under review. The Bank’s performance was driven by increased economic activity in the region, with loans and deposits growing by 17% and 34% respectively, which led to growth in Net Interest Income and Non-Funded Income.
In Tanzania, I&M recorded a 25% increase in operating income to close at KSh1.8 billion and 50% increase in operating profit on the back of recoveries. The KES equivalent Total Assets and Loans & Advances showed a decline of 3% and 6% respectively. (In TZS, loans and advances grew by 12% year on year). Customer deposits were up by 2% in KES, and 22% in local currency.
I&M Uganda posted a 22% growth in operating income and an operating profit growth of 54%. Total assets reported a 4% year-on-year growth to close at KSh34 billion, with growth in the loan and deposit book at 3% and 7% respectively.
The Group’s Joint Venture investment in Mauritius, Bank One, recorded a growth of 23% in operating income year on year. Total Assets and net loans & advances declined by 1% and 5% (local currency up by 12% and 3%) respectively, while customer deposits increased by 4% (18% in local currency).
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