CBO profits go through the roof

 

Cooperative Bank of Oromia (CBO), a decade old financial firm, registered over 78 percent higher profits during the past fiscal year when compared to the previous year performance.

According to its annual performance report the bank earned 476 million birr in pre-tax profits last fiscal year.

The net profit after tax stood at 344 million birr for the 2013/14 fiscal year. That is almost double from their 189 million birr in net profits during the 2012/13 fiscal year.

According to CBOís annual report, the bank plans to disperse about 140 million birr as dividends from the total profit.

The annual report of CBO indicated that the earnings per share for the year went up by 17.3 percent compared with the previous period. This amount is considered to be high by many in the financial industry.

The report stated that the earnings per share, for a 100 birr share value stands at 61 birr, also an increase from 52 birr in 2012/13 fiscal year.

The bankís outstanding loan balance as of June 30, 2014 has reached 3.64 billion birr, with a growth of 75.2 percent compared with the preceding year, which was 2.08 billion birr.

From the total loan amount domestic trade and services took 81 percent followed by foreign trade at 13 percent.

The non performing loan (NPL) for the total loan stood at 1.8 percent, while the NPL compared with the bankís total assets was below one percent.

The total deposit of the bank has registered a remarkable growth comparing with the previous year. According to the annual report, the deposit amount reached 5.45 billion birr, which is a 22 percent growth compared with the 2012/13 fiscal year achievement.

The report stated that the bankís total capital has reached 7.4 billion birr from 6.4 billion birr.

International banking (trade services) continued to be a key area for persistent growth and profitability for CBO.

During the 2013/14 fiscal year, the hard currency earning of the bank registered 53.2 percent growth and stood at USD 467 million.

The bankís paid up capital has also reached 632 million birr that was 442 million in the preceding year.

Including nine new branches in the capital, CBO has opened 28 branches within a year increasing their total branches to 106.

The bank has also become the sixth shareholder of Premier Switch Solution (PSS), a company formed by three local banks four years ago to accelerate the electronic banking system?