The Sacco’s Board recommended interest rebates on members’ deposit of 10.5 per cent for the 2018 financial meaning the unnamed member has deposits of over Sh65 million.
The deposit-taking Sacco announced a total payout of rebates and dividends of Sh2.06 billion in 2018, compared to Sh1.98 billion in 2017.
It recorded a 51 percent growth in profit before tax for the year ending December 31, 2018, which stood at Sh972 million compared
Board Members at the 2019 AGM
to Sh644 million realized in 2017.
The national Vice Chair Rebecca Miano said the Sacco’s operating model has equipped the business with added resilience to achieve the set strategic objectives, as reflected in the commendable performance in the period under review.
Subsequently, the Sacco’s turnover grew from by 0.6 billion during the period under review to 4.6 billion.
Stima Sacco CEO Chris Useki attributed the impressive performance to an aggressive growth on the loan portfolio, lending reforms and improved liquidity.
The lending grew by 8 Per cent from Sh23 billion in 2017 to Sh24.9 billion in 2018 while share capital grew by 25 per cent from Sh1.2 billion in 2017 to Sh1.5 billion in 2018.
“The growth in share capital demonstrates a great commitment by our members to the Sacco, added Miano.
“As a result of our relatively good performance and in line with our retention policy and strategy, we are retaining Sh849 million in 2018 of the net appropriation, up from Sh560 million in 2017, to strengthen our reserves and cushion the business for any potential future shocks,” added Useki.
“The lender is focusing on digital banking, with the all-telco M-Pawa Mobile Wallet continuing to play a pivotal role in the growth of non-funded income to the Sacco.”
The Board of Directors also recommended payment of a first and final dividend of 14 per cent per share for the period ended December 2018.