By Gitahi Ngunyi
The Cooperative Bank share recorded the biggest leap in the banking sector stocks today just a day after it released results showing impressive net profit growth. Data from Nairobi Securities Exchange (NSE) showed that the financial services group stock had gained 3.11 percent in value to close the day at Sh11.60 from the previous day price of Sh11.25.
The group’s stock was also the biggest mover of trade in banking sector shares at the Nairobi Securities Exchange today moving 1.7 million shares worth 19.98 million. Shares traded at the bank’s counter accounted for 68.8 percent of the 2.5 million banking shares traded in the market today
On Thursday, November 16, 2023, the banking group released third quarter results for the period ending September 30, 2023 reporting a 7.6 percent net earnings growth. In the results submitted to NSE, net profit increased to Sh18.39 billion during the reporting period from Sh17 billion in a similar period last year.
The net profit growth was driven by growth increase in interest income from loans and advances. Results show interest income jumped by 17.8 percent to Sh31.84 billion from Sh27.86 billion while income from government securities increased 8 percent to Sh16.78 billion from Sh15.52 billion.
Non-interest income recorded marginal growth to Sh20.58 billion from Sh20.17 dragged down by a 24.9 percent decline in foreign exchange trading income to Sh24.6 billion from 32.8 billion earned in a similar period last year.