KCB Group has announced a Sh16.54 billion net profit in the first quarter of the current financial year. This KCB Group Q1 2025 net profit came in flat from the Sh16.48 billion net profit that was recorded in the first quarter of 2024. This was equivalent to a 0.4 percent growth.
During the current period under review, net interest income increased by 8.6 percent from Sh31.06 billion to Sh33.72 billion while non-interest income dropped by 9.7 percent to Sh15.72 billion from Sh17.42 billion.
Total revenues rose 2 percent to Sh49.4 billion, while the Group’s balance sheet closed the period under review at Sh2.03 trillion from the Sh1.99 trillion that was recorded in the same period the previous year.
“It is notable that we were able to match 2024 quarter one performance, which was impressive by all standards. 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 in navigating the general emerging challenges across the region,” KCB Group chief executive officer Paul Russo said.
In the period under review, operating expenses increased by 3.4 percent to Sh28.26 billion. The group was able to slash down its loan loss provisions from Sh6.32 percent to Sh5.6 billion. The stock of gross non-performing loans closed the period at Sh233.29 billion from the previous Sh205.32 billion, while the non-performing loans ratio increased to 19.3 percent from 18.2 percent.
“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,” said Mr. Russo. “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.”
How KCB Group roared from Sh37.5bn to Sh61.8 billion net profit in one year
Customer deposits stood at Sh1.4 trillion and despite pressure attributable to the appreciation of the Kenyan Shilling against the US dollar, customer loans and advances closed the quarter under review at Sh1.02 trillion.
The drop in customer deposits was equivalent to a 4.9 percent decrease. Total assets on the other hand increased by 1.9 percent to Sh2 trillion.
The bank stated that it is expecting a tougher environment this financial year due to the ongoing global tariff wars. “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.,” said KCB Group chairman Joseph Kinyua.
“KCB Group remains dedicated to ensuring long-term sustainability and shared value for all stakeholders.”
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