By Our Reporter
The banking performance results for 2014 have started trickling in with signs of an improved performance compared to 2013. DFCU, the first bank to release its results recorded a net profit of Ushs 41.5bn in 2014, up from Ushs34.8bn in 2013.
Although the statement from the bank didn’t indicate reasons for the improved performance, most of the key performance parameters for the bank were positive.
For example, bad debts written off reduced to Ushs12.2bn, down from UShs15.6bn in 2013, while customer deposits increased to Ushs822.8bn, up from Ushs700bn in 2013. Loans advanced to customers also increased from Ushs623.1bn in 2013 to Ushs680.1bn in 2014, while the bank’s total assets increased to Ushs1.39tn, up from Ushs1.19tn.
However, the bank’s Non-Performing Loans (NPLs) shot up to Ushs47.6bn, up from Ushs25bn in 2013 and its total expenditure increased to Ushs149bn, up from Ushs132.7bn in 2013. It should be noted that Uganda’s sixth largest bank as of 2013 took over the customers and other assets of Global Trust Bank following its closure by Bank of Uganda late last year after failing to become economically viable for six years.
Headed by Juma Kisaame, DFCU is listed on Uganda Securities Exchange (USE) and remains one of the most profitable banks in Uganda.
