Equity Group Holdings generated an average of Sh6.2 billion every month last year—about Sh208 million a day—after tax, underscoring the scale at which the regional lender is now operating at a time Central Bank of Kenya pushed interest rates to new lows.
This follows a record-breaking year in which profit after tax jumped 55 per cent to Sh75.5 billion for the period ending December 2025, up from Sh48.8 billion a year earlier.
Following the surge in pprofits, the Group has proposed a dividend of Sh5.75 per share, translating to a total payout of Sh21.7 billion—35.3 percent higher than the Sh16 billion distributed the previous year.
Group Managing Director and CEO James Mwangi said the results are a milestone not just for the bank, but for corporate performance in the region. He noted that Equity set a new benchmark for profitability, positioning itself among the most successful financial institutions in East and Central Africa.
The performance also translates into a substantial personal dividend for Mwangi, estimated at about Sh734 million, an amount most companies un the region dream taking home as institutions.
During that period, the group’s balance sheet continued to expand, growing by 9 percent to Sh1.97 trillion. Customer deposits rose to Sh1.46 trillion, while the loan book increased to Sh882.5 billion, reflecting steady growth in both funding and lending activities.
The lender closed the year with 22.4 million customer accounts on the back of its expanding regional footprint and growing digital ecosystem. The bank’s income streams showed resilience, with net interest income rising 17 percent to Sh126.9 billion, while non-funded income climbed 7 percent to Sh90.8 billion, pushing total revenue to Sh217.7 billion.
The cost-to-income ratio dropped to 51 percent from 58.2 percent, driven largely by increased reliance on technology and stricter cost management. More than 98 percent of all customer transactions were conducted outside physical branches, with 88.4 percent processed through digital channels—a clear signal of how deeply digital banking has taken root within the Group.
Asset quality improved as loan loss provisions fell by 28 percent, while non-performing loan coverage strengthened to 67.7 percent. The cost of risk stood at 1.7 percent, indicating a relatively stable credit environment despite broader economic pressures.
A key driver of the group’s performance has been its regional diversification. Subsidiaries outside Kenya now contribute roughly half of total banking profits, reflecting Equity’s transformation from a domestic lender into a regional financial services group.
Equity Bank Kenya posted a 63 per cent increase in profit after tax to Sh39.2 billion while regional operations delivered a combined 53 percent growth in profit to Sh36.3 billion, supported by strong performance in markets such as the Democratic Republic of Congo, Uganda, and Tanzania.
The group’s insurance business dubbed Equity Insurance Group recorded a 75 percent increase in gross written premiums to Sh9.17 billion, while profit before tax rose 36 percent to Sh2.0 billion, signaling growing traction in non-banking financial services.
Taken together, the results point to a bank that is not only growing, but evolving—deepening its regional presence, expanding beyond traditional banking, and leveraging digital channels to drive efficiency.
