CAL Bank increase profit by 21.04% in Q3 2021
CAL Bank for the period between Q3 2020 and Q3 2021 posted a total comprehensive income of Ghs 165 million, a 21.04 percentage points increment in profit when compared to the Ghs 136 million recorded as total comprehensive income or profit in Q3 2020.
The recorded 21.04 percent growth in CAL Bank’s profit margin was mainly on the account of increased operating income.
The bank’s operating income for Q3 2021 was Ghs 544 million as against the Ghs 486 million recorded in Q3 2020. The bank’s profit for Q3 2021 translates into earnings per share of Ghs 0.35 pesewas for shareholders subject to a dividend approval by the bank’s Board of Directors.
In terms of its assets and liabilities, CAL Bank for the review period witnessed increments in both the value of its assets and liabilities.
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The value of its assets climbed up to Ghs 8.63 billion in Q3 2021 from Ghs 7.58 billion in Q3 2020.
Increment in the bank’s total assets value as contained in its Q3 Financial Statement and perused by norvanreports, was mainly driven by a surge in its cash and cash equivalents and non-pledged trading assets.
Cash and cash equivalents increased from Ghs 506 million in Q3 2020 to Ghs 1 billion in Q3 2021, with non-pledged trading assets also significantly increasing from Ghs 170 million to Ghs 1.78 billion in Q3 2020 and Q3 2021 respectively.
CAL Bank’s liabilities under the review period also increased from Ghs 6.54 billion in Q3 2020 to Ghs 7.42 billion in Q3 2021, mainly attributed to deposits from customers and other banks.
Deposits from the bank’s customers increased by more than Ghs 500 million, rising from Ghs 3.96 billion to Ghs 4.55 billion in Q3 2020 and Q3 2021 respectively.
Meanwhile, the loan asset quality of CAL Bank Plc for the period between Q3 2020 and Q3 2021, recorded a modest deterioration as non-performing loans of the bank increased under the review period.
Non-performing loans (NPLs) of the bank per its Q3 2021 Financial Statement, increased from 9 percent in Q3 2020 to 13.7 percent in Q3 2021, indicating a 4.7 percentage points increment in NPLs.
The modest increment in the bank’s NPLs can be attributed to the Covid-19 pandemic-induced debt repayment challenges faced by businesses and households.
Examine below details of CAL Bank’s Q3 2021 Financial Statement:
pdf (22) by Fuaad Dodoo on Scribd
