HomeBanks & BankingNMB posts phenomenal growth in earnings

NMB posts phenomenal growth in earnings

FINANCIAL Services Group NMBZ Holdings’ after tax profit for the full year to December 31 rose to US$5,4 million from US$1,6 million recorded in prior comparative period driven by growth in interest income, the company reported on Monday.

The group’s total assets grew by 17% from US$286 049 034 as at 31 December 2014 to US$333 831 107 as at 31 December 2015.

Gross loans and advances from its flagship unit NMB Bank, increased by 12% from US$217 463 319 as at 31 December 2014 to US$243 241 018 as at 31 December 2015 mainly due to an increase in loans advanced to the broader market segments.

The bank’s non-performing loans ratio reduced to 13.19% at 31 December 2015 from 17.74% at 31 December 2014. The deposits increased by 18% from US$235 362 677 as at 31 December 2014 to US$277 216 769 as at 31 December 2015 as a result of a 22% increase in current and deposit accounts.

NMB’s liquidity ratio closed the period at 30.37% and this was above the statutory requirement of 30%.

Going forward, the group, which traditionally has been targeting high net worth individuals, seeks to grow its income by increasing exposure to the mass market.

“As initiated in September 2014, the Group continued to broaden the market catchment segment for the banking subsidiary by tapping into some segments of the mass market. The uptake of the mass market products has been phenomenal and the group will continue to focus on growth opportunities available in this sector without compromising the service excellence which is synonymous with our flagship bank,” the company said in a statement accompanying its financials.

“Our key differentiators in the financial services sector will continue to be service excellence, technology leadership, agility and quick response times and all these will be buttressed by our experienced and diversified human capital.”-Staff Writer

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