CBZ FY17 profit up 17pct to $28mln


HARARE,– Zimbabwe’s largest financial house, CBZ Holdings reported a 16,8 percent increase in after tax profit to $27,8 million for the full year to December 2017 from $23,8 million in the previous year driven by a surge in non-interest income.

Total income increased by 10,1 percent to $175 million from $159 million in the prior year as non-interest income grew 32,3 percent to $91,4 million from $69 million but net interest income fell 7,4 percent to $75,6 million from 81 million previously.

In terms of revenue contribution, underwriting income contributed 4,6 percent while non interest income and net interests income contributed 52,2 percent and 43,2 percent respectively.

Total assets increased by 5 percent to $2,2 billion from $2,1 billion in the previous year.

Total deposits rose by 4,2 percent to $1,85 billion from $1,78 billion in the previous year while advances fell by 6,5 percent to $941,4 million on cautious lending.

Non performing loans increased to $112,1 million from $70,6 million in the previous year, with the NPLs ratio rising to 10,9 percent from 6,6 percent previously.

Treasury Bill holdings rose to $899,9 million from 760,5 million previously.

The group expects total income to grow by 31 percent in 2018 while deposits and advances are expected to grow by 4,9 percent and 19,7 percent respectively.

The group declared a final dividend of $1,76 million, which, combined with the half year dividend brings the total to $3,5 million in the year, a 10 percent growth from the previous year. – Source