National bank of Kenya has reported a more than four fold decrease in third Quarter 2016 net profit to Sh 521 Million compared to Sh 2.25Billion reported in the third quarter of 2015.
Major Highlights;
Operating expenses increased by 37% from Sh5.6 billion to Sh 7.7 billion as the management attributed this to increased provisioning and investment in technology.
Total interest income grew slightly from Sh9.8 billion to Sh10 billion while net interest income was up 16% from Sh5.7 billion to Sh6.6 billion.
Customer deposits increased by 6% to Sh96.4 billion from Sh90.8 billion over the same period in 2015 on the back of increased volumes from customers.
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Non interest income fell by about 40% to Sh1.86 billion compared to Sh 3.12 billion posted in Q3 2015.
Gross Non performing loans jumped by almost five times to Sh29.3 billion vs Sh6.5 billion in the same period last year. Insider loans decreased from Sh5.6 billion Q3 2015 to Sh 4.3 as of Q3 in 2016.
The Bank’s Earnings Per Share (EPS) fell from Sh 8.05 to Sh 1.69.
