Mathias Katamba, CEO dfcu Bank sharing financial hightlights Dfcu Limited in 2021 registered a tremendous growth, where the core business metrics grew by registering a 21% in the total operating income, the audited financial results for the year ended 31 December 2021 have revealed.
According to the results, the interest expense reduced by 26% from Shs110Bn in 2020 to Shs82bn in 2021
The Net interest income on the other side increased by 17% from Shs233bn in 2020 to Shs273bn in 2021 “Non-interest income increased by 35% from Shs70bn in 2020 to Shs93bn in 2021. Operating income increased by 21% from Shs304bn in 2020 to Shs369bn in 2021,” reads part of the results,
“Cost to income ratio reduced to 50% in 2021 from 63% in 2020. Borrowed funds reduced by 12% from Shs217bn in 2020 to Shs191bn in 2021,” it adds
While explaining the results, the Board of Directors of dfcu limited in a statement said that while credit impairments had a substantial impact on earnings, the Company demonstrated resilience in 2021 showing continued improvement in most of the top line figures driven by strong income growth and cost control. “Operating income grew by 21% year on year while cost to income ratio improved to 50%, an indication that the Company is beginning to reap benefits due to efficiencies derived from its investment in technology and cost optimisation.,” reads part of the statement.
“The Company remained well capitalized with capital ratios of 22.28% and 23.46% for tier one and tier two capital respectively. The Liquidity position remained strong with an average liquid assets ratio above 36%. With the robust liquidity, strong equity shareholders, healthy capital position and a refreshed five-year ‘customer obsessed’ strategy, the Company will continue to play its role in supporting the recovery of its customers and their businesses; and is well positioned to seize the emerging opportunities in several sectors,” the statement added
Speaking at the official unveiling of the performance held at Kampala Serena Hotel on Thursday this week, Mathias Katamba, CEO of dfcu Bank, the trading subsidiary of dfcu Limited said the they achieved a good leap forward on the core metrics with robust growth in total income and continued reduction in operating costs.
“The pre-provisioning profit i.e. profit before provisions, fair value losses and tax grew significantly from Shs114Bn in 2020 to Shs190Bn in 2021. The Bank’s overall profit was significantly impacted by the loan impairment charge, resulting from the adverse […]
