Nedbank Zimbabwe profit up 40 percent

MBCA, which is rebranding to Nedbank Zimbabwe, reported a 40 percent increase in net profit to $7.89 million for the year to December 31, 2017 from $5.65 million in the previous year buoyed by non-interest income.

Non interest income rose by 19 percent to $13.5 million after an increase in transactions while net interest income increased to $16.57 million from $15.02 million in the previous year.

The bank improved its cost to income ratio from 78 percent to 69 percent by containing costs.

“While there was an addition of one branch, improved cost management measures continued to be implemented resulting in a 2 percent decrease in total operating expenses against revenue growth of 10 percent on prior year,” chief executive Charity Jinya said.

Total assets increased by 23 percent to $369.07 million from $298.896 million as a result of bank’s investment in treasury bills (TBs).

The bank increased its TBs holdings to $15.4 million from $1.89 million in the previous year.

Total deposits increased by 26 percent to $297.44 million from $236.75 million previously while net loans increased to $98.18 million from $95.01 million in the prior year.

Core capital increased to $55.08 million from $47.93 million in the previous year.

MBCA Bank is rebranding to Nedbank Zimbabwe in a bid to leverage on the South African bank’s brand equity.- The Source

(157 VIEWS)