Of course. I remember a while back guys were asking why we compared the 2 mostly on Pre-Tax profit



Subsidiaries continued their positive contribution to the Group business. They made Kshs. 400 Million more in Profit Before Tax than they made at this time last year, validating the managements decision to use some of the Rights Issue money on giving them much needed boosts

KCB’s Non-Interest Income was buoyed by a 47.9% increase in its Fees and Commissions to Kshs. 6.9 Billion. Fees and Commissions now account for 67.3% of its Total Non-Interest Income

Since the last 3 months, the tables have been turned and it is now Equity who trail KCB in Profit Before Tax by a figure of around Kshs. 100 Million. At Half Year, KCB trailed Equity by a similar figure and at 1st Quarter 2011, it stood at Kshs. 390 Million

LINK: KENYA COMMERCIAL BANK POSTS 40% JUMP IN 9 MONTH PROFIT BEFORE TAX

and w/ such good results the price of the stock will still fall !!!!! justv wait till the excitement ends !!!!

If kcb and equity don't pay a 2bob first and final dividend come year end,it will be a very greedy move.

I am pleasantly surprised. LOAR!

Rooooooooaaaaaar

KCB Group's subsidiaries breaking even and posting profits all through FY2011 effectively plugs a 2B loss they contributed in FY2010. Watch out! ROOAR!!

A quick analysis of kcb's good performance !!!



Kenya Commercial Bank (KCB) announced 9 months performance results to September 2011 marking a 43% y/y (+4% q/q) rise in attributable earnings. Due to share dilution (33% rise in issued shares following rights issue in August 2010) EPS rose 7.5% y/y to KES 2.18. The group’s performance marginally outperformed our expectations. Performance was mainly driven by; improved NIM as WAIR on lending rose 80bp q/q, fully compensating for a 50bp q/q rise in WAIR on deposits, growth in fees and commission income (driven by increase in customer base to over 1.8m) and continued cost containment (while CTI remained little changed at 62.6%, management guide that there was a one-off cost related to the on-going business re-engineering). Most impressive in the results was the 56% y/y (>600% q/q) decline in loan loss provision due to rise in recoveries (recoveries increased 620% y/y, while total gross provision declined 13.4% y/y). Growth in balance sheet also impressed, with management attributing rise in loans assets to increased retail, corporate & mortgage lending. In 3Q11, total NPLs grew 6.6% q/q & 4.6% y/y. NPL ratio however continues to improve (7% in 3Q11, down from 9.2% & 7.2% in 3Q10 & 2Q11).



>Management remain optimistic on delivering robust performance in FY12 – mainly driven by sustained growth in SME business, higher returns from regional operations (especially following roll-out of mortgage products in Tanzania & Rwanda) and cost savings following continued implementation of business re-engineering process. On innovation, KCB recently launched its internet banking platform and by end of Sept 11, it had signed-on 1,300 agents to complement its Kenyan network of 170 branches.



>At current prices, KCB remains the cheapest bank at a PB of 1.1x. While the stock was one of the best performing banks on a YTD basis for a better part of the year, KCB is the 2nd worst performer m/m down 17.2% (only second to NIC that has declined 17.8% m/m). While we see positive price movement following the results announcement, it is likely that investors will remain cautious given KCB’s recent 400bp hike in base lending rate to 19% (while the move is likely to translate to higher NIM in FY12, it is likely to strain 41% of KCB’s loan book that is Micro & SME).

Uhmm alot of misinformation in this post, NIM (NIM=net interest income/average earning assets) declined and npl y-y surged by 36%...always good to verify on your own.

Some dude has grabbed 93 shares(odd lots) at 7.50, a 50percent discount,takin advantage of the price limit waiver today. Poor seller. CMA should investigate this.

Trading well.