But a closer look at the numbers show some more subdued stats that may indicate an economic slowdown, and which may be confirmed when other banks (especially Barclays and KCB) release their year-end results in the next two months.
– Equity’s growth in assets is 45% from a year ago, but 6% in Q3 and 3% in Q4
– Equity’s deposits are 55% up from a year ago, but this breaks down to 23% in Q2, 10% in Q3 and 6% in Q4
– Equity’s’ loans are up 87%, but the 41% increase in Q2, was followed by 17% in Q3 and 2% in Q4
– Expansion costs – income up 98% from a year ago, but expenses have kept track – up 97% from a year ago (in 2007, the spread was 73% and 52% in 06/07)
– Factor in Safaricom IPO lending (interest and fees) estimated at– and Q2 income was 3x higher than in any of the other two quarters
– Cross-checking against the 2007 election and disruption in economic activity, in 4Q of 2007, Equity had growth of 18% in deposits and 33% in loans with 54% in profits in same quarter, with in 1Q of 2008, had 8% deposit and 11% in loans, rates which outpace 4Q of 2008
Shareholders will be happy with the Kshs. 3/= dividend, but the 1 for 10 share split, will add a huge float of shares to an overflowing NSE pool.
most from the daily papers this week
– African Development Bank is currently accepting applications for its Young Professionals Program . Apply online by 20/2
– Barclays seeking debt recovery agents – auctioneers, re-possessors, valuers and investigators. D/L is 28/2
– Commercial Bank of Africa: senior manager finance. Apply through KPMG by 25/2
– Family Bank Bancassurance Manager. D/L for online applicatiosn is 6/3
– IFC Investment officer (private equity & investment funds division) Africa, based in Nairobi. D/L is 27/2