BANK
CONDENSED AUDITED INTERIM FINANCIAL STATEMENTS AS AT 30 JUNE 2021
ASSETS
31 June 21 31 Dec 20FRW '000 FRW '000
Cash, deposits and balances due from financial institutions
Financial investments – amortised cost
Financial investments – FVOCI
Loans and advances to customers
Deffered tax assets
Other assets and prepaid expenses
Property and equipment
Intangible assets
TOTAL ASSETS
LIABILITIES FROM
45,299,942
34,643,871
-
158,582,742
745,556
3,793,714
1,782,869
1,444,709
43,860,843
26,447,876
-
150,426,864
745,556
Balances due from related parties 332,890 972,307
2,452,101
1,935,383
1,451,107
Right of use Asset 4,201,632 4,402,693
250,827,925 232,694,730
Deposits from customers
Deposits from banks and other financial
Balances due to related partiesBorrowed fundsOther liabilities and accrued expensesLease liabilities
158,266,968
34,952,4521,345,4504,960,0708,251,7883,451,496
CAPITAL AND RESERVES
Share capital
Share premium
Retained earnings
20,148,149
1,076,185
16,903,790
20,148,149
1,076,185
13,821,403
Statutory Credit Risk Reserves 536,908 536,908
TOTAL LIABILITIES 212,162,893
140,878,850
40,259,5232,981,5387,472,6171,607,0663,666,478
934,670 246,013Current income tax- -Deferred income tax liabilities
197,112,085
TOTAL EQUITY 38,665,032 35,582,645
TOTAL LIABILITIES AND EQUITY 250,827,925 232,694,730
FRW '000 FRW '000 FRW '000 FRW '000
At 1 January 2020
Profit for the year
Period ended 31 Dec 2020
At 31 Dec 2020
Total comprehensive income for the year
Total comprehensive income for the year
16,329,895
20,148,149
1,076,185
1,076,185
237,28310,073,654
536,908
Share Capital
Share Premium
FVOCIreserve
27,717,017
4,047,3744,047,374
Share capital injection 3,818,254 3,818,254
Fair value gain on FVOCI investments
Profit for the yearFair value gains on FVOCI investments
35,582,645
At 1 January 2021
Period ended 30 June 2021
At 30 June 2021
Total
FRW '000
13,821,403
20,148,149 1,076,185 536,908 35,582,64513,821,403
3,082,387 3,082,387
20,148,149 1,076,185 536,908
38,665,03216,903,790
20,148,149 1,076,185 536,908 38,665,03216,903,790
Retained earnings
299,625-299,625
CONDENSED AUDITED INTERIM FINANCIAL STATEMENTSFOR THE SIX MONTHS ENDED 30 JUNE 2021
4,403,410 5,732,689Profit before income tax
Cash flow from operating activities:
(214,982)
-
(1,032,124)Interest expense on lease liabilities
308,918 645,717 Adjustments for:Depreciation of property and equipment
238,949 433,102Amortisation of intangibles
4,736,295 5,779,384
- Unrealized gains/losses
Operating profit before changes in operating working capitalChanges in working capital:
(8,155,878) (14,645,183)Change in loans and advances(1,341,613) 402,393 Change in other assets
Change in non-current assets held for sale17,388,118 17,656,643 Change in deposits and balances from customers
- - Change in prepaid operating lease rentals201,061 535,512 Change in right of use assets
(1,636,088) (532,398)Change in balances due from related parties639,417 (2,959,501)Change in balances due to related parties
6,646,005 (987,092)Change in other liabilities2,090,148 (1,964,268)Change in cash reserve requirement
Change deposits from banks and other financial Institutions
Principal elements of lease repayments(632,366) (2,432,784)Income tax paid
CONDENSED AUDITED INTERIM FINANCIAL STATEMENTSFOR THE SIX MONTHS PERIOD ENDED 30 JUNE 2021
30 June 2021FRW '000
31 Dec 2020FRW '000
Net cash generated from investing activities
Cash flows from financing activities:
(3,172,033) (11,697,296)
Cash and cash equivalents at 01 January 12,135,235
Cash and cash equivalents 21,550,186 5,495,702
(708,581) 4,205,057
Cash flows from investing activitiesPurchase of intangible assetsPurchase of property and equipmentProceeds from property and equipment disposal
(232,551)(156,404)
(99,679)(514,853)
Share capital 3,818,254 Proceeds from forward contractReceipt of Longterm Debt Repayment of Long-term Debt
1,803,966
Net cash generated from financing activities(708,581) (1,417,163)
Net increase in cash and cash equivalents 16,054,484
5,495,702
(6,639,533)
Proceeds from investment securities 5,308,500 417,236Purchase of investment securities (8,091,578) (11,500,000)
Net cash used in operations 19,935,099 852,706
CONDENSED AUDITED INTERIM FINANCIAL STATEMENTSFOR THE SIX MONTHS ENDED 30 JUNE 2021
FRW '000 FRW '000
Interest and similar income
Interest and similar expense
Net interest income
Fees and commission income
Fees and commission expense
Impairment losses on loans and advances to customers
Operating income before impairment
Operating income after impairment losses
Net fees and commission income
Income tax charge
12,450,870
(4,574,418)
7,876,452
2,514,246
(268,175)
10,831917
10,463,183
(368,733) (913,006)
(1,321,023)
10,857,577
(3,828,347)
7,029,230
2,246,072 1,633,162
1,840,879
(207,716)
Net foreign exchange income
Other operating income
509,476
199,917
488,756
175,192
9,326,340
8,413,334
Total operating expenses 6,059,774 5,973,256
Profit before income tax 4,403,410 2,440,078(732,024)
Profit for the period 3,082,387 1,708,055
Other comprehensive income to be reclassified to profit or loss in subsequent periods (net of tax)
- -
Total comprehensive income for the period 3,082,387 1,708,055
Employee benefitsDepreciation of property and equipment
Amortisation of intangible assets
Other operating expenses
2,814,444
308,918
2,690,337
324,530
238,949 215,919
Depreciation of Right of use assets 523,393 524,910
2,174,070 2,217,560
31 June 21 31 June 20
STATEMENT OF FINANCIAL POSITION
STATEMENT OF COMPREHENSIVE INCOME
BANK
30-June-21FRW '000
A ) Capital Strength
A) Credit Risks
CONDENSED AUDITED INTERIM FINANCIAL STATEMENTSFOR THE SIX MONTHS PERIOD ENDED 30 JUNE 2021
STATUTORY DISCLOSURES
Core Capital (Tier 1)Supplementary Capital (Tier 2)Total CapitalTotal Risk Weighted AssetsCore Capital/ Total Risk Weighted Assets Ratio (Tier 1 Ratio)Tier 2 RatioTotal Capital/Total Risk Weighted Assets RatioLeverage Ratio
34,183,7672,326,759
36,510,526198,627,594
17.21%1.17%
18.38%12.23%
162,656,081
1,976,373 42,671,446
- - - -
43,803,441 -
6,902,106 25,213,121
6,916,858 22,510,50312,662,233
1.Total gross credit risk exposures: after accounting offsets and without taking into account credit risk mitigation;2. Average gross credit exposures, broken down by major types of credit exposure:a) Loans, commitments and other non-derivative off-balance sheet exposures; • Agriculture• Building and construction• Education• Energy and water• Financial intermediation• Health and other• Manufacturing• Mining & quarrying• Mortgage• Personal/household• Real estate• Tourism, rest & hotels• Trade• Transport and communication
B) Debt securities;
C) OTC derivatives;Regional or geographic distribution of gross exposures, broken down in significant areas by major types of credit exposure:
Sector distribution of exposures, broken down by major types ofcredit exposure and aggregated in the following areas:
OFF- BALANCE SHEET ITEMS
a) Kigalib) Southernc) Westernd) Northerne) Eastern
a) Guarantees issued outwardb) Outward letter of credit contra
31,897,8755,072,541
NON-PERFORMING LOANS INDICATORS a) Non-performing loans (NPL)b) NPL ratio
8,406,9475.17%
RELATED PARTIESa) Loans to directors, shareholders and subsidiariesb) Loan to employees
-5,110,832
LIQUIDITY RISK1) Liquidity Coverage Ratio (LCR)2) Net Stable Funding Ratio (NSFR)
168%120%
Interest rate riskEquity position riskForeign exchange risk % of Core Capital (NOP)
595,831-
437,531
OPERATIONAL RISKNumber and types of frauds and their corresponding amount
MARKET RISK
1. Credit exposures abroad2. Other assets held abroad3. Liabilities to abroad
-18,008,258
9,637,463
COUNTRY RISK
1. Number of Board members2. Number of independent directors3. Number of non-independent directors4. Number of female directors5. Number of male directors6. Number of Senior Managers7. Number of females senior managers8. Number of males senior managers
75216
144
10
Management and board composition
141,752,7656,760,0299,393,7772,255,6782,493,832
a) Governmentb) Financialc) Manufacturingd) Infrastructure and constructione) Services and commercef) Others
00
43,803,44167,884,56642,089,595
8,878,479
The interim audited financial statements were approved by the board of directors on 30th july 2021 and Signed on its behalf by:
Managing Director Chairman of the Board
Contact Us:Call: 5222 or 0788 140 000Email: [email protected]: www.kcbbankgroup.com
EXPLANATORY NOTES TO THE FINANCIAL STATEMENTS H1 2021i. Interest income grew by 14.7 % mainly attributed to growth in loans and advancesii. Interest expense grew by 19.6% attributable to a growth in customer depositsiii. Net loans and advances grew by 13.5% supported by new deals booked during the year in line with market opportunitiesiv. Non-interest income grew by 28.7% supported by growth customer numbers and new productsv. Customer deposits also grew by 24.7% to support loan book growth.
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