Kina Bank announces net profit of K60.9mil after tax

KINA Bank has announced a net profit of after tax of K60.9 million from its 2019 financial results ending Dec 31, a 27 per cent increase from 2018.
This has resulted in a final dividend of A$6.4 (K13.8) per share or K15.5 and a full year dividend of A$10.4 (K22.5) or K25.5 per share.
Chairman Isikeli Taureka attributed what was described as strong results to:

• A 31-per cent increase in net interest income to K114.6 million;
• Solid growth in the existing loan book of 26 per cent and the addition of the acquired ANZ PNG loan book in the second half of the year; and,
• With an overall loan growth was 65 per cent.

“With another year of uninterrupted foreign exchange (FX) trading, FX income was up 23 per cent to K42 million and saw an increase in overall market share,” Taureka said.
“Kina funds management grew by K480 million to K8 billion by Dec 31, 2019, and achieved a revenue of K11.2 million.
“Kina funds administration also recorded growth in profit by seven per cent to K12.5 billion.
“It was a transformative year for Kina and perhaps will be recognised as the biggest year in our history.
“We completed a series of milestones that fundamentally changed the shape and scale of our business and set us up for long term sustainable growth.
“I am also pleased to announce a strong financial performance that exceeded market expectation.
“Our success was delivered in a complex business environment that continued to recover from external shocks where foreign exchange was in tight supply and economic activity low.
“Under the leadership of Greg Pawson, our chief executive officer and managing director, we appointed three new members of the executive leadership team and strengthened our business model.
“The new team has significant experience in digital innovation and transformational change that will help set us up for long term success.
“This ensured we were prepared for the acquisition and that our existing business continued to grow.
“Together, they are working on a major culture change programme to help staff navigate the complex process of integrating two different businesses.
“They have made significant progress on this and are working to embed our values and purpose throughout the business.”