KCB Group PLC has demonstrated strong financial health for the first nine months of 2025, announcing a profit after tax of Sh47.32 billion.
This marks a 3.4% increase from the Sh45.76 billion earned in the same period last year, with the Group’s total comprehensive income more than doubling to Sh53.29 billion from Sh25.32 billion in the same period last year.
An expansion in the group’s total operating income to Sh149.43 billion, up from Sh142.95 billion, served as the primary engine for this growth. This performance was anchored by a significant 12.4% jump in net interest income, which reached Sh104.33 billion.
While non-interest income saw a decline to Sh45.09 billion from Sh50.15 billion due to external pressures, the group’s strategic digital investments, including a new self-onboarding mobile app, were crucial in stabilizing its non-funded income streams.
Complementing the revenue growth, disciplined financial management kept total cost growth to a minimal 2%, a figure that falls below the current inflation rate. This fiscal prudence directly contributed to an improved cost-to-income ratio of 46.2%, down from 47.4% a year earlier.
The Group’s balance sheet also reflected positive trends, with total assets growing by 2.6% to Sh2.04 trillion, up from Sh1.99 trillion the previous year. This expansion is particularly remarkable as it was achieved despite the group’s divestiture from National Bank of Kenya (NBK), completed in May 2025. The asset growth indicates successful organic expansion and effective capital allocation following the sale.
In terms of asset quality, the situation was stable. Despite customer deposits settling at Sh1.53 trillion compared to Sh1.59 trillion last year, the non-performing loans (NPL) ratio improved to 17.8% from 18.5%, aided by recoveries and the sale of NBK.
Furthermore, KCB’s capital and liquidity positions remain exceptionally robust. The Group reported a core capital ratio of 17.0% and a total capital ratio of 19.6%, both comfortably exceeding the regulatory minimums of 10.5% and 14.5%, respectively. The liquidity ratio stood at a solid 46.7%.
The group’s loan book also showed vigorous growth, with gross loans and advances increasing by 7% to Sh1.24 trillion.
According to the group, this growth was fueled by a deliberate focus on key sectors critical to the region’s economic development, including building and construction, agriculture, manufacturing, and energy and water.
Additionally, the period concluded with a return on assets (ROA) of 3.1% and a substantial rise in shareholder equity to Sh308.51 billion from Sh248.95 billion.
