Diamond Trust Bank on Tuesday announced an 11.4 per cent increase in group profit after tax of Sh4.7 billion for the nine-month period to September 30, 2015 compared to Sh4.3 billion during a similar period last year.

The group’s total interest income shot to Sh18.39 billion compared to Sh15.14 billion recorded in a similar period last year.

At the same time, the bank’s group profit before tax edged up marginally to Sh6.91 billion for the period compared to Sh6.24 billion last year.

SIXTH BIGGEST LENDER

On the other hand, its group net interest income went up to Sh10.86 billion, compared to Sh9.32 billion last year, according to its unaudited financial results released.

Diamond Trust, an affiliate of the Aga Khan Fund for Economic Development SA, ranks as Kenya’s sixth-biggest lender by market value.

The lender added eight new branches outside of Kenya last year, to take the tally to 59, most of them in Uganda (33) and Tanzania (22), while Burundi has four.

In 2013, its foreign branch network (51) was second highest after KCB Group’s 59.

The lender’s total branch network stands at 111 across East Africa, including Kenya.

RIGHTS ISSUE

DTB’s capital position improved last year following a rights issue of Sh3.6 billion (the fourth since 2006), which was oversubscribed.

In addition, the group’s capital base was enhanced by an issue of Sh2 billion in subordinated debt last year, as well as profit retention.

It further increased its capital base in the first quarter of this financial year through another subordinated loan of Sh2 billion ($20 million.)

Over the next six months, through its Tanzanian and Ugandan subsidiaries, the group plans to raise additional capital by way of rights issues, although DTB’s executives project this will not impact capitalisation at the group level.

The lender, which focuses on services to small- and medium- sized businesses, has in the recent past announced plans to introduce products that will target youth and women.

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