FBC H1 after tax profit up 13 percent to $9,3mln

FBC H1 after tax profit up 13 percent to $9,3mln

HARARE, August 25 (The Source) – FBC Holdings on Thursday reported 13 percent increase in after tax profit to $9,3 million in the six months to June, driven by a 36 percent growth in net interest income.

Net interest income at $22,5 million contributed 48 percent to the group’s total income.

The group recorded total income of $46,6 million, registering a 17 percent increase on the $39,9 million achieved in the same period last year.

“The growth in net interest income was mainly driven by an improvement in the cost of funding, overall growth in interest earning assets and the reclassification of suspended interest income to earned interest income, following the performance of some material non-performing loans,” said chairman Herbert Nkala in a statement accompanying the unaudited results Thursday.

Net fee and commission income grew 16 percent to $12, 5 million from $10, 8 million, as a result of increased volumes of electronic transactions but its contribution to total income remained flat at 27 percent.

The insurance business registered a 6 percent decline in revenue, though net earned insurance premium was flat.

Basic Earnings Per (EPS) rose 15 percent to 1.41 cents per share and the board proposed an interim dividend of 0,22 cents per.