Compared with last year what do we conclude?

A likely impossibility is always preferable to an unconvincing posibility.

Not a good start for KCB

Negative impact likely on the share price if the trend continues in Q2

The KCB I know since 2004 always returns minimum of 30% pre tax profit.

My basket in NSE is full of KCB shares



AFRICAN INVESTOR

The accounts were compared with the same period we had post election violence i.e jan-March 2008. i see this as not a good performance and actually should be a sign of rough times ahead.

Smooth

KCB expanded into UG,Equity Bank invaded Uganda.

Equity's strategy is total control (more like an epidemic),most of these other banks go into a new market and just want to have a presence. KCB has been in UG for a long time and they boast 9 branches. Equity officially launched with 50 branches.

Anyway not to discount the huge effect of the post election violence and the resultant economic shocks - goes to show just how much the economy is dependent on a working political system.

My gut feeling is that a lot of banks will perform worse than they did last year. In the coming week,the horses will be coming back home with bad news.

I will be very impressed if ANY bank does more than 20% profits.

On Ug... it will be tougher to double profits for 5 years straight. Maybe 2 years. Why? Ugandan banks have taken notice of Equity's performance/strategies in Kenya & are countering EB's efforts.

*** On Kenya,having 50% of the accounts does NOT equate to 50% of profits since most of the absolute 'profitable' accounts are at other banks esp corporate banks e.g. Barclays,StanChart,I&M Bank,Citibank,CBA,DTB,etc.

Greedy when others are fearful,Very fearful when others are greedy - to paraphrase WB