Standard Chartered Bank Kenya has posted a Sh2.7billion net profit for the first quarter of 2022, a 16 per cent growth compared to Sh2.3billion posted over a similar period in 2021.
The growth was supported by strong net interest incomes, financial markets, and wealth management.
“Our first-quarter performance was strong despite volatile and challenging market conditions underlying business momentum. Asset quality remained resilient in the first quarter however we continue to remain alert to the challenging external environment,” said Kariuki Ngari, Standard Chartered Bank CEO.
The lender’s operating income increased 5 per cent to Sh7.4billion from strong performance in net interest income, financial markets and wealth management;
Net interest income increased 7 per cent to Sh4.9billion due to higher asset volumes and lower customer deposits cost of funds.
Further, operating expenses were up 9 per cent Sh3.5billion from Sh3.2billion attributed to increased investment spending on transformational digital initiatives including partnerships.
Loan impairment declined by 121 per cent reflecting the impact of a release in management overlays, primarily relating to Covid-19.
Net loans and advances to customers increased 2 per cent from 31 December 2021 while asset quality remained stable.
Customer deposits remained flat from 31 December 2021 at Shs.265 billion.