I&M Group reported a remarkable 30.9% increase in net profit, reaching KES 3.32 billion during the first quarter of trading that ended in March 2024.
The growth was driven by increased interest income. Its core earnings per share increased by 35.4% year-over-year.
Key Highlights
- Core earnings per share jumped 35.4% to Kshs 2.20 from Kshs 1.60 in Q1’2023. Profit after tax also rose 35.4% to Kshs 3.6 billion.
- Total operating income grew 20.6% to Kshs 11.5 billion, primarily due to a 37.7% increase in Net Interest Income. This increase was driven by strong growth in interest from deposits and placements and loans and advances.
- Operating expenses rose 10.0% to Kshs 6.6 billion, with staff costs and other operating expenses contributing to the rise. However, a decrease in loan loss provisions helped mitigate some of these expenses.
- Total assets increased 12.5% to Kshs 533.0 billion, driven by growth in net loans and advances and government securities. Customer deposits also grew significantly, at 18.2%.
- Gross Non-Performing Loans (NPLs) increased slightly, leading to a marginal rise in the NPL ratio. However, the bank remains well-capitalized.
| Income Statement | Q1’2023 | Q1’2024 | y/y change |
| Net Interest Income | 6.1 | 8.4 | 37.7% |
| Net non-Interest Income | 3.5 | 3.2 | (9.4%) |
| Total Operating income | 9.6 | 11.5 | 20.6% |
| Loan Loss provision | (1.6) | (1.5) | (6.4%) |
| Total Operating expenses | (6.0) | (6.6) | 10.0% |
| Profit before tax | 3.7 | 5.1 | 36.2% |
| Profit after tax | 2.7 | 3.6 | 35.4% |
| Core EPS | 1.6 | 2.2 | 35.4% |
