KCB Group PLC posted a profit after tax of KShs.16.53 billion in the first quarter of the year
ending March 2025, compared to KShs.16.48 billion reported a similar period last year, with
notable growth in key financial metrics.
Total revenues rose 2% to KShs.49.4 billion, while the Group’s balance sheet closed the
period at KShs.2.03 trillion, from KShs.1.99 trillion on the back of a stable loan portfolio.
The profit before tax contribution by the subsidiaries outside KCB Bank Kenya improved to
32%, resulting from the Group’s focus on deepening regional scale.
According to Group Chief Executive Officer, Paul Russo,“The Group was resilient, supported by new business lines, deepening of digital channels and innovative customer value propositions. Our robust balance sheet means that we are well positioned to support our customers to navigate the general emerging challenges across the region”
“As we steer the remainder of the year, our focus is on leveraging the Group’s scale,
capabilities, people and partners, to deepen relationships and financial inclusion. We will
continue to harness technology to enhance banking services and drive relevant products
and services that contribute to economic growth, sustainability, and shareholder value” he
added.
Operating costs grew by 7.8%, to KShs.22.7 billion, largely driven by workforce-
related expenses and budgeted investment in technology. On asset quality, provisions for expected credit losses declined by 11.3%, driven by an aggressive Non-Performing Loans (NPL) monitoring strategy, particularly targeting accounts with persistent delinquency and at risk of transitioning to NPL status, strengthened collateral positions and successful rehabilitation of key NPL exposures across the subsidiaries.
The Group’s stock of gross NPLs closed the period at KShs.233 billion while the NPL
ratio stood at 19.3%, reflecting the challenging economic conditions in different sectors
across the markets.
On the balance sheet size, the Group maintained the industry’s leadership position.
Customer deposits stood at KShs.1.4 trillion and despite pressure attributable to the
appreciation of the Kenyan Shilling against the US dollar, customer loans and
advances closed the quarter at KShs.1.02 trillion.
The Group continued to deliver value for shareholders, posting a Return on equity of
23.3%. Total equity attributable to Group shareholders increasing by 28.4% from
KShs.231.5 billion to KShs.297.1 billion.
“The environment is expected to be even tougher this year with all the headwinds streaming from global trade tariff wars to shifting geopolitics in the East region. KCB Group remains dedicated to ensuring long-term sustainability and shared value for all stakeholders,” said KCB Group Chairman Dr. Joseph Kinyua.
KCB Group PLC is completing the sale of National Bank of Kenya Limited (NBK) to
Access Bank PLC (Access Bank).
In March, KCB Group PLC acquired up to 75 percent shareholding in the financial technology firm, Riverbank Solutions to bring on board Riverbank’s footprint in banking agency, social payments and business solutions. Riverbank has presence in Kenya, Uganda and Rwanda.
KCB Group has signed up to the Pan-African Payment and Settlement System (PAPSS) to enhance cross-border trade and financial integration across the continent. KCB also launched a new multi-currency card now supports 18 currencies.
