Family Bank, one of Kenya’s fastest growing banks, has reported a 117 percent profits growth in third quarter.
The bank’s profits before tax grew to Ksh 484.6 Million in September 2010 from Ksh 223.8 Million in September 2009.
Releasing the results, the bank managing director Peter Kinyanjui attributed the phenomenal growth to a strong loan book which grew by 29 percent from Ksh 7.3 Billion in September 2009 to Ksh 9.4Billion in September 2010.
“Interest income over the period grew by 35.3 percent from Ksh 967.6 million to Ksh 1.3 billion while non interest income grew from Ksh 746.9 million to Ksh 1.1 billion over the same period,” Kinyanjui said.
At the same time the bank’s balance sheet expanded drastically with assets jumping 52 percent from Ksh 12.3 Billion in September 2009 to Ksh18.6 Billion in September 2010 while deposits grew by 49 percent from Ksh 9.6 Billion in September 2009 to Ksh14.3 Billion in September 2010.
During the period under review, the bank’s capital shot after AfricInvest, a private equity firm acquired 24.99 percent stake pushing up total shareholders’ funds by 97 percent from Ksh 1.6 billion in September 2009 to Ksh 3.1 billion in September 2010.
AfricInvest Group of the leading private equity firms in North and sub-Saharan Africa with over $550 million (Ksh 44 billion) of assets under management across 10 Private Equity funds.
“In the period under review our customer base has grown to 800,000 while subscribers to our revolutionary and popular mobile banking platform Pesa Pap hit 140, 000,” Kinyanjui added.
Recently the bank re-launched its brand identity. The new brand identity combines the bank’s purpose of enabling people to create and sustain wealth through access to flexible, affordable financial services and its strategic thrust to become the premier lending bank.
Under the new brand identity, the bank will position itself as a financial institution where customers feel valued, understood, supported and respected like in a family. The brand position is captured by the bank’s new tagline “With you, for life.”
Family Bank begun as building society in 1984 and has grown to be one of the biggest indigenous owned banks. It converted into a commercial bank in 2007 and has 53 branches across the country.