- Bank posts profit of P38.4 million in 2024
BBS Bank has reported a strong financial performance for 2024, with total assets growing by 8 percent year-on-year, from P5.2 billion to P5.6 billion.
The Botswana Stock Exchange (BSE)-listed commercial bank released the figures in its 2024 annual report, currently under review.
Hildah Mhaladi, Head of Finance at BBS, said in a commentary accompanying the financial results that the group achieved a profit after tax of P38.4 million, a significant turnaround from the loss of P21.3 million reported in the year ended December 31, 2023.
โThis improvement reflects the initial successes of our corporate strategy,โ she said. โIt also marks the first year the Group has reported a profit since demutualisation in 2018.โ
Net interest income (NII) grew significantly, rising 68 percent year-on-yearโfrom P122.3 million to P206.4 millionโdriven largely by interest income from an expanded unsecured loan book, which contributed P154.6 million.
โInterest expense increased by 9 percent to P269.7 million, mainly due to an expanded deposit base needed to fund asset growth,โ said Mhaladi. Despite the increase in expenses, she noted that the bankโs net interest position remained strong, demonstrating its ability to meet growing demand for credit products.
The bankโs liquidity position also remains solid, with a Liquid Asset Ratio of 15.6 percent, well above the statutory minimum of 10 percent. Mhaladi said this ensures BBS can meet its obligations and withstand market volatility.
Customer deposits rose by 6 percent, increasing from P4.2 billion to P4.5 billion, reflecting continued support from both retail and corporate clients.
โExpanding our current and savings account base remains a key focus for 2025 to manage funding costs effectively,โ she said.
