CBZ Posts $3,1 Million Profit – NewZimbabwe.com

By Alois Vinga

ONGOING government infrastructure projects have availed lucrative opportunities for CBZ Holdings on the back of which the country’s largest financial services institution posted a net profit of $3,1 million.

Presenting a trading update for the nine months period ended September 30, 2021, CBZH Group Legal Corporate Secretary, Rumbidzai Jakanani hailed numerous government projects for the opportunities which were tapped into by the bank.

“The Government’s investment in infrastructure projects, among them road rehabilitation, further stimulated business activity in beneficiary sectors such as construction, manufacturing and transport. This, in turn, widened the business opportunities available to the Group,” she said.

During the period under review, total revenue at $17,3 million was more than the $10,7 million posted in a comparative last year.

Profit After Taxation at $3,1 million was however lower than $5,5 million posted last year.

The group’s total assets surged to $146,4 million up from $86,2 million, a figure which may be partly reflective of the volatile inflationary environment.

During the review period, total deposits surged to $146,4 million up from $64,3 million recorded last year on the back of resurging inflationary pressures returned with the resumption of business activity, as evidenced by the rise in the month-on-month inflation rate from an average of 2,7% during the second quarter to an average of 3,8 % during the third quarter.

On the capital markets, the CBZH share price closed the third quarter at 8306.71 cents.

“The ZSE benchmark all share index rose by 225.46% in the period under review. CBZH, resultantly ended the period with a market capitalisation of $43, 42 billion.

“All the Group’s regulated subsidiaries were in full compliance with their capital requirements. Directors expect their banking subsidiaries to be compliant with the minimum revised requirements which are effective 31 December 2021,” said Jakanani.