CAL Bank records over GH¢100m profit in Q3

Frank Adu Jnr, Managing Director of CAL Bank has announced that the bank has made GH¢118,492,000 profit in the third quarter of the month, representing a 12.5 percent increase of the second quarter figure.

The bank raked GH¢78,609,000 in the second quarter of the year and made GH¢105,282,000 within the same period next year.

Among the seven listed banks, CAL bank and Ecobank were the only two banks to make gains, with CAL bank recording 8.5 percent.

The net interest income, which is the difference between the revenue that is generated from a bank’s assets and the expenses associated with paying out its liabilities, also recorded GH¢175,925,000 increase—a 35.5 percent growth from the same period last year—making it the highest among the listed banks.

The Non-Performing Loans (NPLs) figure for the bank also stood at 6.8 percent for the period, a decrease in 1.8 percent of the same period last year. This Mr. Adu Jnr described as satisfactory compared to the bank’s target set for the year for NPLs.

Mr. Adu Jnr, speaking to a cross section of the media in Accra on Tuesday, noted that even though the bank made some strides within the period, it came on the back of serious macroeconomic challenges, notably, the depreciation of the local currency.

He added that even though the recent inflows from the Eurobond and the syndicated cocoa loan have moderated the currency volatility, it dealt a very big blow to banking centre as the first half of the year saw the currency depreciating more than 26 percent. The current depreciated of the cedi against the dollar from January this year stands at 15 percent.

The bank as part of strategies to increase its market share which will also translate into increase in profit seeks to expand its branch network to 28 selected locations, and also launch a “branchless” banking through agencies and outlets.

The bank will also make concerted drive into E-business initiatives to boost deposits and increase payment channel.

The bank further plans to develop the capacities of staff through training and rewarding staff performance to retain motivated and quality personnel, deepen cross-training to enhance cost and operational efficiency, and to provide world class, conducive environment.

CAL Bank further seeks to strengthen its risk management framework by balancing its risk management exposures while optimising return on risk and maintaining a low NPL ratio.

Currently the most innovative indigenous Ghanaian Bank in Ghana, CAL Bank Limited continues to provide a broad range of banking and financial solutions to large corporations, small and medium-sized enterprises, public sector institutions and retail customers through a network of 24 branches and over 100 ATMs across Ghana.