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NewsDay

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CBZ profit after tax rise

Business
CBZ Holdings saw its profit after tax rising by 6,7% to $35,2 million in the full year to December 2015 from the previous year’s $33 million powered by a growth in total income.

CBZ Holdings saw its profit after tax rising by 6,7% to $35,2 million in the full year to December 2015 from the previous year’s $33 million powered by a growth in total income.

BY BUSINESS REPORTER

In the year ended December 31 2014, profit after tax was $33 031 383.

The group’s total income surged to $184,2 million from $154,57 million in 2014 with the bulk of that coming from its banking unit, CBZ Bank.

CBZ-bank1

Non-interest income constituted 40,8% of the total income down from 42,8% in 2014. This means that the group was deriving the bulk of its income from interest on loans and not from fees, commissions and bank charges. The central bank has been urging banks to retain customers by levying low bank charges.

Operating expenditure was up to $117,85 million from $98, 66 million. Deposits were up 18,9% to $1,68 billion from $1,4 billion. Total advances retreated by 9,3% to $1,02 billion during the period under review from $1,12 billion in 2014.

In a statement accompanying the group’s financial results, board chairman Richard Wilde said policy consistency and coherence, investment in infrastructure and promotion of new and old markets were key initiatives for economic growth.

“In this regard, CBZ Holdings will continue to scout for opportunities to invest in developmental assets where the attendant risk-return profile is deemed acceptable to the shareholders,” he said.

The group declared a final gross dividend of $1 456 504 to bring the annual dividend to $2 913 009, a 10% growth from the prior year. The group’s cost to income ratio grew to 64% in the period under review from 63,8% in 2014.