KCB Group has announced a half year net profit of Sh. 29.9 billion for the period ended June 30, 2024. This was a growth of 86.4 per cent from the Sh. 16.1 billion that was reported in the same period the previous year.

During the half year period under review, the lender saw total assets increase by 6 per cent to Sh. 1.97 trillion while customer deposits increased by 1.3 per cent to Sh. 1.49 trillion. Shareholder funds increased by 14.1 per cent to Sh. 241 billion.

“We saw our balance sheet close at about Sh. 2 trillion in the first half of 2024,” said Lawrence Kimathi, the Finance Director at KCB Group. “The balance sheet expanded 6 per cent to Sh. 1.98 trillion up from Sh. 1.86 trillion. As a result, KCB remained the most profitable financial institution in East Africa, and the largest by asset size.”

Interest income grew by 39.9 per cent to Sh. 97.4 billion. Net interest income increased by 34.8 per cent to Sh. 61.3 billion while non-interest income increased by 20.8 per cent to Sh. 33.3 billion.

“The contribution by subsidiaries (excluding KCB Bank Kenya) has continued to increase, closing the half at 37.8 per cent in pretax profits and 34.4 per cent in total assets, signaling the benefits of diversification to other markets outside Kenya,” said Kimathi.

KCB Group chief executive officer explained that the lender’s net loans and advances stood at Sh. 1.03 trillion. “This was a 7 per cent jump from additional facilities to support our customers undertake their business activities,” he said.

“We delivered a commendable first half of the year, despite strong headwinds in the operating environment, especially in Kenya, thanks to the goodwill and confidence from our customers and commitment by our staff,” he added.

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Following this performance, the bank announced that it will pay out an interim dividend of Sh. 1.50 per share.

“Our Board of Directors recommend an interim dividend of Sh. 1.50 per share, to be paid on or about 30, October 2024 to shareholders on the Register of Members at the close of business on 12, September 2024,” said Kimathi.