KCB Group Plc has announced improved financial results for the year ending December 2025, reporting higher profits, stronger lending activity, and growth in customer deposits across its regional markets.
The bank recorded a net profit of KSh 68.4 billion. This represents an increase of about 11 percent compared to the previous year. The results show continued growth in the bank’s core business including lending, customer transactions, and regional operations across East Africa.
Total income also increased during the year. The group reported revenues of KSh 214 billion compared to KSh 204 billion recorded in the previous financial year. The increase reflects higher interest income from loans as well as increased activity through digital banking services and customer transactions.
The bank’s balance sheet also expanded during the year. Total assets grew to KSh 2.15 trillion, representing an increase of more than 9 percent compared to the previous year. The expansion reflects stronger lending activity and growth in customer deposits across the group’s markets.
Customer lending was one of the main drivers of growth. Loans increased by about 15 percent to reach KSh 1.59 trillion. In the previous year the loan book stood at a lower level. The increase signals growing demand for credit from businesses and households across sectors such as trade, agriculture, manufacturing, and small enterprises.
Customer deposits also recorded strong growth during the year. Deposits increased by about 15 percent to close at KSh 1.59 trillion. The growth indicates increased savings and stronger confidence among individuals and businesses that bank with KCB.
Regional subsidiaries continued to contribute significantly to the group’s performance. Operations outside Kenya generated about 30 percent of the group’s profit before tax and also accounted for roughly the same share of the group’s balance sheet. KCB operates in several countries across East Africa including Uganda, Tanzania, Rwanda, Burundi, South Sudan, and the Democratic Republic of Congo.
Non banking subsidiaries also contributed to the financial results. The bancassurance business reported profits of about KSh 1.14 billion. The investment banking arm generated profits of KSh 348 million while the asset management business delivered profits of about KSh 160 million.
The bank also improved cost management during the financial year. Operating expenses declined by about 2.5 percent compared to the previous year. The cost to income ratio improved to about 42.5 percent from 45.4 percent recorded the year before. Lower operating costs helped the group retain a larger share of income as profit.
Asset quality also improved during the year. The ratio of non performing loans declined to about 16.9 percent compared to 19.2 percent the previous year. The total stock of bad loans reduced to about KSh 211.8 billion compared to more than KSh 225 billion the year before.
The bank maintained strong capital levels throughout the year. Core capital stood at about 18.4 percent of risk weighted assets while the total capital ratio reached about 22.1 percent. Liquidity remained strong at about 50.8 percent, well above regulatory minimum requirements.
Shareholders are also set to benefit from the improved financial performance. The board has proposed a final dividend of KSh 3 per share. Earlier in the year the bank paid an interim dividend of KSh 4 per share. This brings the total dividend payout for the year to KSh 7 per share, translating to a total payout of about KSh 22 billion to shareholders.
During the year the group also pursued several strategic initiatives aimed at expanding digital banking and trade finance. The bank secured a financing facility of about 150 million dollars from the African Development Bank to support trade finance and green investment projects across the region.
KCB also entered into an agreement to invest in payments technology company Pesapal as part of efforts to strengthen digital payment services for businesses operating across Africa.
The bank also launched a unified mobile banking application designed to provide payments, savings, and investment services in one platform as part of its push to expand digital financial services.
Beyond financial performance, KCB also maintained its support for national events and community initiatives. The bank committed KSh 227 million to sponsor the Safari Rally in Nakuru, marking the sixth consecutive year that the bank has supported the international motorsport event.
Bank leaders say they expect economic activity across East Africa to remain stable despite global economic uncertainties. The group plans to continue expanding lending, strengthening digital banking services, and supporting business growth across the region.
