[2008-08-19]  DTB's pre-tax profit up 42%
Diamond Trust Bank Kenya group pre-tax profit up to June this year rose by 42% to Ksh 719 million, up from Ksh 506 million posted for the same period last year.

Group after tax profit up to June this year rose by 41% to Ksh 502 million, up from Ksh 356 million posted over the same period last year.

The bank's Managing Director Nasim Devji attributed the impressive growth to continued expansion in the customer base resulting in improved earnings from interests and fees.

DTB's customer deposit base rose by 38% from Ksh 20.1 billion in mid 2007 to Ksh 27.7 billion by June 2008; the group's customer deposits for the six months to June 2008, stood at Kshs 33.3 billion.

Loans and advances to customers of DTB Kenya went up by 34% to stand at Kshs 22.3 billion, with the consolidated loan book standing at Kshs 26.2 billion for the group.

"The six months results have benefited from the continuing growth of our customer base, with a marked improvement in revenues, particularly from foreign exchange trading and loan interest and commissions," said Devji.

This growth, she says, had been achieved despite the challenges faced by the country early this year following the post poll disturbances.

Total operating income for the bank rose to Ksh 1.4 billion for the six months to June 2008, a 45% increase over the same period last year, while at group level it went up to Ksh 1.68 billion.

Group assets grew by 37% to stand at Kshs 40.7 billion, from Kshs 29.8 billion over the same period last year.

Devji said DTB's ambitious branch expansion programme was progressing well, with its network in the East African region expected to increase from 19 to over 30 branches by the end of this year.

Already the group has branches in Nairobi, Mombasa, Kisumu, Malindi, Thika and Kisii in Kenya, Dar es Salaam, Mwanza and Arusha in Tanzania and in Kampala, Uganda.

The group is also set to expand in the region with plans to establish a banking subsidiary in Burundi once regulatory approvals are received.

Diamond Trust Bank is an affiliate of the Aga Khan Fund for Economic Development (AKFED), the economic development arm of the Aga Khan Development Network.

Amongst the bank's key shareholders are Habib Bank Limited (HBL), an AKFED subsidiary, and the International Finance Corporation, the private lending arm of the World Bank.

Source: © 2008 Kenya Broadcasting Corporation.