Sidian Bank bounces back to profitability with Ksh.274.8M earnings
Sidian Bank has bounced back to profitability booking earnings of Ksh.274.8 million in six months to June to reverse a previous Ksh.85.8 million loss.
The return to growth for Centum affiliated lender is largely attributable to improving operating income which rose by 50 per cent to Ksh.1.5 billion.
The greater operating income found footing from a rise in both net-interest income and non-interest income with net interest income growing by the larger margin to hit Ksh.724.6 million from Ksh.374 million.
At the same time, the bank has held off growth in costs with non-interest expenses steady at Ksh.1.1 billion, the same stock as last year.
This supported by a deceleration in loan-loss provision costs which fell to Ksh.87.2 million from Ksh.167.2 million.
Nevertheless, Sidian’s balance-sheet contracted slightly with net assets falling to Ksh.35 billion from Ksh.36.2 billion.
Net loans and advances to customers however registered growth to Ksh.21.5 billion while customer deposits grew from Ksh.19.9 billion to Ksh.24.5 billion.
During the same period, Sidian Bank has marked an improvement in its asset quality with gross non-performing loans (NPLs) sliding to Ksh.2.5 billion from a higher Ksh.3.1 billion last year.