NCBA Group PLC has posted a solid performance for the first quarter of 2026, underpinned by a resilient balance sheet, sustained subsidiary growth, and continued investment in digital transformation.
The Group maintained a robust capital adequacy ratio of 21.8%, significantly above the regulatory minimum of 14.5%, reinforcing its financial stability and capacity to support future growth. Return on Average Equity (ROAE) remained stable at 18.4%, signaling consistent value creation for shareholders despite a dynamic macroeconomic environment.
Subsidiary Performance Anchors Growth
NCBA Bank Kenya remained the primary profitability engine, recording a 20% year-on-year growth to reach KES 6.5 billion in profit before tax (PBT). This performance continues to reflect strong lending activity, improved asset quality, and effective cost management.
Regional subsidiaries across Uganda, Tanzania, and Rwanda delivered a combined KES 707 million PBT, demonstrating steady operational performance across East Africa.
Non-banking subsidiaries also contributed meaningfully:
- NCBA Investment Bank
- NCBA Insurance
- Leasing and BancAssurance units
NCBA Group 2025 full-year net profit hits Sh23.4bn, total dividend rises to Sh7.10
These collectively generated KES 641 million PBT, reflecting the Group’s diversification strategy.
The investment banking arm reported notable traction, with Assets Under Management (AUM) rising to KES 101.5 billion and wealth clients surpassing 60,000, signaling growing demand for structured wealth solutions.
Meanwhile, insurance subsidiaries expanded their footprint, with combined Gross Written Premiums (GWP) reaching KES 5.0 billion, supported by the Group’s integrated approach to embedding insurance across customer journeys.
Digital Transformation and Customer Experience Gains
NCBA continues to strengthen its digital-first strategy. Service uptime improved to 99.74%, supported by investments in cybersecurity, CRM systems, and AI-powered onboarding, credit, and claims processing.
Customer experience metrics also improved:
- Digital Channels Net Promoter Score (NPS) rose to 62
- Recognition in the Kenya Bankers Association (KBA) 2025 Customer Experience Survey
The upgraded NCBA ConnectPlus platform is enhancing transactional banking efficiency, supporting KES 181 billion in lending and KES 211 billion in deposits within the corporate segment.
Digital adoption remains a defining feature of NCBA’s growth model:
- 98% of all transactions are now digital
- Digital loan disbursements reached KES 391 billion in Q1 2026
Scaling High-Growth Segments
The Group is executing a hybrid strategy combining physical and digital channels, supported by a network of 123 branches.
In asset finance, where NCBA commands a 32% market share, the CarDuka platform has scaled rapidly, onboarding nearly 7 million users, positioning it as a leading digital marketplace for vehicle transactions.
The launch of NCBA BOOSTA, a KES 35 million digitally accessible SME lending product, is expected to accelerate growth in the MSME segment, which recorded KES 8.3 billion in lending during the quarter.
NCBA Logbook Loan offers timely relief for cash-strapped car owners
Sustainability and Social Impact
NCBA continues to align growth with sustainability and community development. In Q1 2026 alone:
- Over 200,000 livelihoodswere positively impacted
- Nearly 200 students received scholarships
- More than 200,000 trees were planted in partnership with Kenya Forest Service and regional stakeholders
The Group also supported:
- Over 1,900 golfers and 800 cyclists through inclusive sports sponsorships
- More than 600 youth in the creative economy are unlocking commercial opportunities
On green financing:
- Lead arranger for the KMRC Green Bondraising KES 3 billion
- Trustee and receiving bank for the KES 4.8 billion TRIFIC Green REIT
- Disbursed KES 190 million in green financing
Outlook: Strategic Transactions and Market Vigilance
Group Managing Director John Gachora noted that the proposed transaction with Nedbank Group Limited is progressing as planned, with key milestones on track.
While the Group has not experienced material disruption from the evolving Middle East geopolitical situation, management remains cautious, actively monitoring potential implications on liquidity, inflation, and broader macroeconomic conditions.
Strategic Perspective
NCBA’s Q1 2026 performance reflects a disciplined execution model built on capital strength, digital leadership, and diversified revenue streams. The bank is not merely growing—it is reshaping how financial services are delivered across East Africa.
For business leaders and policymakers, the signal is clear: sustainable growth in today’s environment requires three things—strong capital buffers, digital infrastructure, and ecosystem thinking that integrates finance, insurance, and wealth management.
The institutions that will endure are those that balance profitability with resilience, and scale with responsibility. NCBA is positioning itself within that category.
