Housing Finance profit up four per cent

Housing Finance (HF) managing director Frank Ireri. Housing Finance Group has suspended a planned borrowing of Sh20 billion citing an expensive debt market environment. PHOTO/DIANA NGILA

What you need to know:

  • The firm said in a statement on Tuesday, it rode on increased interest income to record earnings of Sh221.2 million in the first quarter, up from Sh195.6 posted the same period last year.

Mortgage lender Housing Finance has reported a four per cent growth in after-tax profit for the three months through March.

The firm said in a statement on Tuesday, it rode on increased interest income to record earnings of Sh221.2 million in the first quarter, up from Sh195.6 posted the same period last year.

Total interest income rose to Sh1.43 billion from Sh1.35 billion in the previous period as a result of growth in the loan book.

Non-interest income almost tripled to Sh217.86 million, compared to Sh79.06 million recorded in the first quarter of 2013 as the company reaped from ongoing diversification efforts.

“Our main focus now is to grow new deposits in current and savings account which will reduce our cost of funds and also improve our bottom line,” said managing director Frank Ireri. 

The firm’s total interest expense for the period grew by 13 per cent to stand at Sh784.6 million compared to Sh693.1 million over a similar period last year.