dfcu’s Group General Meeting reveals positive results

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dfcu Limited Chairman Elly Karuhanga_ Director Winifred T. Kiryabwire and Company Secretary Joshua Ogwal

dfcu Bank’s 53rd Annual General Meeting took place today at Kampala Sheraton Hotel. In the meeting, it was revealed that dfcu Group’s deposit base grew as a result of both newly acquired and the existing clients across the business segments. A clear strategy of growing the liability base, as well as deepening existing customer relations.

dfcu Limited Chairman Elly Karuhanga, Director Winifred T. Kiryabwire and Company Secretary Joshua Ogwal

Investments in Government securities increased by 37% on the back of improved liquidity due to significant growth in customer deposits.

The bank realized a 60% growth in loans and advances from organic growth and assumption of some of the loans and advances from former Crane Bank.

dfcu Bank CEO Juma Kisaame speaking at the dfcu Limited 53rd AGM

Transaction income growth was driven by higher transaction volumes arising out of the increased customer base during the year. The total operating income increased by 107% to UGX 358.9 Billion.

dfcu Bank CFO Kate Kiza presents the Banks 2017 Financial statements

The financial performance of 2017 was more impressive given the tough economic environment for most parts of the year. The highlights of the performance goes as follows:

Net Profit After Tax increase was mainly driven by significant increase growth in key income lines especially the interest income line.

Highlights of the 2017 Performance

Net profit after tax increased by 136% to UGX 106.8 Billion. This was mainly driven by significant increase growth in key income lines especially the interest income line that grew by 60% to UGX 347 Billion.

Total operating income increased by 107% to UGX 358.9 Billion

Transaction income grew by 35% to 39.6 billion. This was driven by higher transaction volumes arising out of the increased customer base during the year.

The asset base expanded by 75% to Shs 3,057 billion, upheld by strong growth in loans and advances and increased investments in government securities. The Bank realized a 60% growth in loans and advances from organic growth and assumption of some of the loans and advances from former Crane Bank.

Investments in government securities increased by 37% on the back of improved liquidity due to significant growth in customer deposits.

The Group’s deposit base grew by 75% to Shs 1,987 billion. The growth was as a result of both newly acquired and the existing clients across the business segments. A clear strategy of growing the liability base, as well as deepening existing customer relations.

Shareholders’ funds grew by 113% from Shs 250 billion to Shs 532 billion as result of new capital raised through a Rights issue and retained earnings.

Dividend payout: The Shareholders have approved the issuance of a final dividend of UGX 68.24 per share less withholding tax for the year 2017.

Board of Directors Reappointed:

The following directors have been reappointed to the Board:

Mr. Kironde Lule

He has over 30 years’ experience in financial management and auditing. He was a Finance Director in the Aga Khan Foundation (USA), ICF (Tanzania); Director Financial Reporting in the Global Fund for Vaccines (USA). He served as the Commissioner Internal Audit -Uganda Revenue Authority and an Audit Partner in Deloitte & Touche (Swaziland & Cote d’Ivoire). He is a fellow of the Institute of Chartered Accountants in England and Wales and a member of the American Institute of Certified Public Accountants.

Mr. Deepak Malik

He is currently the CEO of Arise B.V. and has extensive experience and knowledge in the investment and financial services sector in Africa. He joined Norfund as an Investment Director in 2003, where he was instrumental in promoting Norwegian investments in Southern Africa and the region. He also served as the Head of Department –Financial Institutions and was a part of the Management team of Norfund. Prior to joining Norfund, he served as a CEO of DBZ (Development Bank of Zambia) and other senior executive positions in ZCCM (Zambia Consolidated Copper Mines Limited). He has over 36 years’ experience and serves on various local and international boards. He also holds a Bachelor of Commerce (Honors) from the University of Delhi, India and is a qualified Chartered Accountant.

External Auditors:

KPMG have been re-appointed as the external auditors of the company for the year 2018.

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