I&M Group Posts 24pc growth in Q3 2024 profit before tax
I&M Group PLC has reported a remarkable 24 percent growth in Profit Before Tax (PBT) for the third quarter of 2024, reaching KES 14.1 billion, compared to KES 11.4 billion in the same period of 2023. This performance reflects the successful implementation of its iMara 3.0 strategy and solidifies the Group’s position as a regional leader in financial services.
Operating revenue surged by 20 percent, and operating profit climbed by 24 percent to KES 18.9 billion, buoyed by a 37 percent increase in Net Interest Income. Loan loss provisions rose from KES 4.6 billion in 2023 to KES 5.5 billion in 2024, underscoring the Group’s commitment to maintaining a high-quality earnings portfolio.
Total assets increased by 4 percent year-on-year to KES 568 billion, while customer deposits grew by 3 percent to KES 414 billion, reflecting the Group’s success in leveraging innovative digital products. Although the overall loan portfolio declined by 2 percent to KES 281 billion, retail lending saw significant expansion.
The Group also announced an interim dividend of KES 1.30 per share, payable in January 2025, in celebration of I&M Bank’s 50th anniversary.
Regional subsidiaries contributed 28 percent of the Group’s PBT, driven by a 49 percent increase in corporate and institutional banking income and a 28 percent rise in retail banking revenue. Digitally active customers accounted for 83 percent of the Group’s clientele across the region.
Rwanda: I&M Bank Rwanda achieved a 55 percent growth in PBT, with a 32 percent increase in operating income. Loans and deposits grew significantly in local currency by 27 percent and 52 percent, respectively.
Tanzania: I&M Bank Tanzania recorded a 73 percent jump in operating profit, supported by strong recoveries and a focus on asset quality management. In local currency terms, loans grew by 11 percent and deposits by 19 percent.
Uganda: The Bank in Uganda registered a 37 percent rise in operating profit and 21 percent growth in operating income. Total assets surpassed UGX 1 trillion, while loans and deposits expanded by 24 percent and 7 percent, respectively.
Mauritius: Bank One, the Group’s joint venture in Mauritius, saw operating income rise by 16 percent in local currency, with customer deposits growing by 11 percent.
I&M Bank Kenya delivered a 21 percent increase in PBT and a 19 percent growth in revenue, driven by a 36 percent year-on-year rise in its customer base. The “Ni Sare” proposition, offering free bank-to-mobile transactions, fueled a 270 percent increase in SME customer acquisitions.
“Our growth reflects a relentless focus on providing relevant financial solutions to our customers,” said Mr. Gul Khan, CEO of I&M Bank Kenya. He added that the Bank had disbursed over KES 20 billion in loans, positively impacting 2.5 million lives.
As I&M celebrates five decades of service excellence, the Group is focused on sustaining growth through innovation, digital transformation, and operational efficiency. “This strong performance is a testament to our iMara 3.0 strategy,” said Mr. Kihara Maina, Regional CEO of I&M Group PLC.
With steady growth across its markets and a strong emphasis on customer-centric solutions, I&M Group PLC is poised to remain a key player in the East African financial landscape.
