MetBank HY after tax profit up 40 pct to $400k on non-funded income

MetBank HY after tax profit up 40 pct to $400k on non-funded income

HARARE, August 31 (The Source) – Metbank Zimbabwe reported an after tax profit of $403,453 in the half year to June from $289,399 in the comparable period last year, following a surge in non-interest income.

Operating income rose more than four times to $6,4 million from $1,5 million in the same period last year driven by non-interest income which increased significantly to $5,86 million from $928,124 over the same period last year.

Net interest income declined by 6 percent to $563,287 while operating expenditure increased to $5,5 million from $4,5 million in the same period last year.

The bank managed to restrict non-performing loans to 1.5 percent which is within the regulatory threshold of 5 percent.

“The bank continues to be aggressive in its loan collection and recovery efforts whilst underwriting a new book with caution”, said chairman Wilson Manase.

Loan and advances increased by 147 percent to $53,1 million from $21,4 million as at December 31, 2016.
Deposits increased by 75 percent from $53,44 million as at December last year to $93,39 million.

During the period under review total assets increased by 16 percent to $232,3 million from $201,2 million recorded in the previous year.

The bank closed the year with a total regulatory capital of $56,5 million from $55,8 million previously. The central bank has set the minimum regulatory capital at $100 million by year 2020.