The tier one bank leveraged on improved efficiencies, innovation and customer retention to grow its bottom line. Diamond Trust Bank (DTB) has announced a 9 percent increase in pre-tax profit to Kshs 11 billion for the year ended 31 December 2018, a record for the Kenya-based regional banking group.
The bank’s assets grew to Kshs 378 billion, 4% higher than the previous year, driven mainly by growth in customer deposits which went up to Kshs 283 billion, an increase of 6% over the previous year. Nasim Devji, DTB’s Managing Director and Group Chief Executive Officer, said: “We are pleased that DTB delivered strong results.
This speaks to the resilience of the Group and its strong, loyal and diverse customer base across East Africa.” DTB’s subsidiaries in Tanzania, Uganda and Burundi combined contributed 25% of the group’s assets and 16% of its profitability.
“This performance is anchored on the Group’s strong market positioning and long history in the East African region serving these customers. A solid shareholder base also augments our inherent strength,” said Ms Devji.
The Bank’s non-performing loans dropped from Kshs 13 billion to Kshs 12.1 billion. DTB maintained a high liquidity ratio of 53.5% at the end of 2018, compared to the 20% minimum prescribed by the regulator. It is also one of the highest capitalised banks in Kenya, with the ratio of core capital to total risk weighted assets standing at 18.7%, against the 10.5% minimum required by the Central Bank.
DTB’s board has proposed a first and final dividend of Kshs 2.60 per share, which is the same as the previous year, with earnings per share increasing slightly, from Kshs 23.73 to Kshs 23.91.