The Co-operative Bank of Kenya has announced a 16.9 growth in full net year profit. This has seen the Co-op Bank full year 2025 net profit rise to Sh29.75 billion from the previous year’s Sh25.46 billion.

During the year under review, the bank’s total assets increased by 11.32 percent to Sh827.4 billion from the previous year’s Sh743.3 billion as the bank eyes for the Sh1 trillion asset base milestone.

Customer deposits in the period increased by 13.28 percent to Sh576.5 billion while loans and advances grew by 12.65 percent to Sh421 billion.

At the same time, shareholder funds increased by 13.82 percent to Sh165.5 billion. This was supported by a strong Sh15.1 billion increase in retained earnings.

Net interest income grew by 21.99 percent to Sh62.85 billion while operating income increased 13.93 percent to Sh91.89 billion.

“This is the best-ever performance by the bank. It underscores the significant gains made under the 2025-2029 Good to Great Strategy and the Soaring Eagle Transformative Agenda,” said Co-op Bank Managing Director and Chief Executive Officer Dr. Gideon Muriuki.

According to Dr. Muriuki, the bank will continue to focus on digital transformation, financing for micro small and medium enterprises, and sustainable banking as part of its long-term strategy.

The bank further announced that through its digitization strategy, over 90 percent of all customer transactions are currently being processed through alternative delivery channels.

“Our omni-channel platform across mobile, internet and USSD continues to support seamless and efficient service delivery, complemented by an extensive distribution infrastructure comprising of over 60,000 Co-op Kwa Jirani agents, 620 ATMS, and Cash Deposit Machines, ad a 24-hour contact centre,” said Dr. Muriuki.

Parallel to digital banking, the bank has maintained a network of 222 branches. This comprises of 189 Co-op Bank Kenya branches, 6 branches in South Sudan, and 27 branches under Kingdom Bank which is a subsidiary of the banking group. In the year under review, the bank opened up to 12 new branches in its expansion drive.

During the year under review, the bank extended its support for small businesses by onboarding over 259,000 micro small businesses onto MSMEs packages specifically designed to support small businesses.

At the same time, over 71,000 small businesses were supported in the year under review through capacity-building and training initiatives.

“MSMEs remained a key segment for the Group, accounting for 16.8 percent of the bank’s loan book and 23.4 percent of customer deposits. This reflected strong engagement across both lending and transactional relationships,” said Dr. Muriuki.

Following this performance, the banking group has announced that it shall be paying shareholders a final dividend of Sh1.50 per share. This dividend pay will the total dividend payout for the full year 2025 to Sh2.50 per share. Earlier in the year, the bank had paid out an interim dividend of Sh1 per share.

The total of Sh2.50 per share now represents a total growth of 67 percent in dividend pay from the Sh1.50 per share that was paid out in the full year 2024.

See More: Co-op Bank starts rolling out matatus financed at Sh703 million

At the same time, the proposed dividend will amount to a total pay of Sh14.67 billion, out of which the 15-million member cooperative movement is expected to receive an estimated Sh9.47 billion.

The Question: I am 33. I am single and don’t have children. I am a nursery school teacher upcountry. I earn Sh13,000 per month. I pay house rent Sh3,000, water and power Sh500, and food and groceries Sh6,000. I am in a merry-go-round where we contribute Sh1,000 per month and give to one member at a time. We are 30 members and I am number 18 in the list.

We have so far given money to 13 members. I also spend Sh1,000 to Sh1,500 at the salon and sends my mom Sh500 every month. I use the remainder on church contributions. I would like to start poultry and dairy farming. My aim is to start selling eggs to local shops to bring my food budget down and then start selling milk to the local dairy factory. My estimates show that I need at least Sh250,000 for this project.

If I want to start this project this year, what should I do to raise this money? What pitfalls should I avoid? Is this a viable project or am I going to lose money? Is the option of loan viable?

The solution as answered by Chacha Nyaigoti Bichang’a, a financial coach at Chachanomics Consulting Firm and the author of Mastering Your Money: your total household expenditure is Sh12,250. You are left with a small remaining balance of Sh750 which is not accounted for. You currently do not have a strong financial position to support the strategy of raising Sh250,000 loan as soon as possible.

To achieve your financial goal, review your expenditure, use merry-go-round to raise initial capital, start a chicken business in phases and grow it gradually, explore loan options and additional income, assess the business viability and address the pitfalls.

1). Review your expenditure

Your biggest expenses and rent and foodstuffs. You spend Sh3,000 for rent which consumes 23 percent of your income against the recommended average of 15 percent (translating to Sh2,000). Relocate to a cheaper single room and save Sh1,000. Food and grocery consume Sh6,000 (46 percent) instead of the recommended average of 20 percent (Sh2,600). Do bulky shopping.

At your rural home, you can get groceries cheaply. Reduce this expense to around Sh3,000 and set aside Sh3,000. Once you readjust your expenditure on the above two items, you will be able to remain with a disposable amount of Sh4,000 that can be channelled to a savings’ kitty in a village women Chama or Sacco.

2). Use the merry-go-round payout to raise initial capital for your poultry business

Wait patiently for your turn because you are number 18 out of 30 members. This implies that 13 members have benefited and you are five months away from receiving the payout.

3). Grow your poultry business gradually or in phases

You cannot start both poultry and dairy farming together but start with the least capital-intensive business in a phased framework.

Phase one: Start with poultry business using the merry-go-round payout of Sh30,000 to start as illustrated by the breakdown below. One, put up a simple chicken structure of around Sh10,000. Two, buy 50 layers of improved Kienyeji at around Sh150 totalling to Sh7,500. Three, buy feeds of about Sh5,000.

Buy vaccination drugs of about Sh3,000 and miscellaneous of about Sh4,500. In a period of six months, the 50 layers will produce 30 to 40 eggs per day to sell to local shops at Sh15 each amounting to Sh450 to Sh600 per day and Sh13,500 to Sh18,000 monthly. After deducting feed costs, you can earn Sh5,000 to Sh7,000 profit per month. This will reduce your food costs and build your capital for expanding the chicken business.

Phase two: This would involve expanding the poultry business before starting dairy farming. Once it stabilizes, expand to 150 to 200 birds. The profit realized could reach Sh15,000 per month. Upscale your saving habits to a bigger amount.

Phase three: This is where you start the dairy farming business. A good dairy cow costs Sh120,000 to Sh180,000. If you consider the cost of putting up a shed, buying nappier grass, veterinary care among others, these would stretch the cost you Sh150,000 to Sh200,000 per month.

The income from selling milk, for example, is approximately 10 litres per day at Sh45 totalling to Sh450 per day and Sh13,500 monthly. Remember, the expenses for feeds, veterinary and labour can chip away your net profit to around Sh6,000 to Sh8,000.

4). Explore loan options and additional income

Going for a big loan of Sh250,000 is untenable. Consider taking a smaller loan of Sh50,000 to Sh100,000 from a Sacco, bank or Chama but ensure the repayments fit your budget. Alternatively, you can work with the merry-go-round payout, build your chicken business slowly, saving consistently for two to three years before taking any loan. This strategy will build your financial discipline and saving habits.

You can conquer getting an interest free loan from relatives, family members or friends. Explore additional avenues of increasing your income. Consider selling items online such as second-hand clothes, take up extra teaching hours in the evening or weekends including holidays. Consider your skill set, passion and available opportunities within your locality.

5). Assess your business viability

Poultry and dairy farming businesses are two of the most profitable rural small and medium enterprises in Kenya. Their success depends on factors such as starting small, controlling diseases, managing feeding costs and growing the business gradually. Research on market prices, costs and competition as you upscale.

6). Address pitfalls

There are a number of challenges or pitfalls you have to closely look at. One, taming the desire to start big because many people lose money by starting with as many as 100 chickens or more than three good grade cows. Start small and learn the ropes. Two, poor disease control. Ensure you have vaccinated your chicken and keep the kitchen structure clean to prevent poultry diseases that can wipe away your birds in a few days.

READ MORE: I started poultry farming with Sh50,000, I now make over Sh1 million profit after six weeks

Buy chicks from reliable hatcheries. Three, reduce the cost of production by utilizing kitchen leftovers, greens from the farm, maize germ, and sunflower cake. Four, not doing market planning or research. Before expanding your poultry or dairy business, do market research and identify shops that will buy eggs or milk, neighbours and the local market.

Above all, patiently build your poultry and dairy business from scratch. First, start with 50 chicks then grow to 200 chickens and use the proceeds to start a dairy business much later after two to three years. A simple poultry business can grow to Sh50,000 in monthly income.

Learn about prudent personal financial management skills such as budgeting, tracking your money as well as businesses money, separate business money from your money, pay your worker and yourself a salary directly proportional to the rate of business growth.

A version of this question and answer was previously published in the newspaper magazine, Saturday Magazine. The Saturday Magazine is a pullout in the Saturday Nation, a publication of the Nation Media Group.

Equity Group full year 2025 net profit has risen to a record Sh75.5 billion. This net profit represented a 54.7 percent growth in profit. It was derived from a full year profit before tax of Sh90.8 billion which was a growth of 51.6 percent. In the previous full year 2024, Equity Group had recorded a full year net profit of Sh48.8 billion.

During the 2025 financial year under review, Equity Group’s total assets increased by 9.2 percent to Sh1.97 trillion from the previous year’s total of Sh1.8 trillion.

Customer deposits grew by 4.2 percent to Sh1.46 trillion from the previous Sh1.4 trillion while loans to customers increased by 7.7 percent to Sh882.5 billion. In full year 2024, total disbursed loans had stood at Sh819.2 billion.

Net interest income increased by 17 percent to Sh126.9 billion while non-funded income increased by 7 percent to Sh90.8 billion. Total income came in at Sh217.7 billion which represented an increase of 12 percent from the Sh193.8 billion that was recorded in the previous full year 2024.

The group’s regional operations accounted for about half of the total profitability that was recorded in the year under review. Equity BCDC grew its profitability by 58 percent while the group’s subsidiary in Uganda increased its profitability by 500 percent. In Tanzania, profitability growth was recorded at 125 percent.

Overall, the group’s subsidiaries accounted for 51 percent of the total banking profit before tax and 48 percent of the banking profit after tax.

Equity Group managing director and chief executive officer Dr James Mwangi noted that the full year 2025 performance demonstrated the strength of the Group’s strategic transformation, driven by diversified revenue streams, improved efficiency and growing contributions from regional subsidiaries.

“The 2025 performance reflects the success of our deliberate transformation into a diversified regional financial services group,” said Dr. Mwangi.

“We delivered strong profit growth by expanding and deepening our income streams, improving efficiency across the franchise, and strengthening the quality of our balance sheet.”

The group’s digital transformation continued to increase in the year, with 88 percent of all customer transactions being conducted digitally. When merchants and agents were included, 98.2 percent of transactions took place outside physical branches.

“This means that our branch network handles just 1.8 percent of total transactions, which is a clear demonstration of the depth of our digitization and the operational efficiencies it enables,” said Dr. Mwangi

“This level of adoption is central to strengthening our cost to income ratio and driving a more efficient, scalable business model.”

See More: Equity Group Q3 2025 net profit jumps 32 percent to Sh54.1 billion

Following this performance, Equity Group has proposed to pay a full year 2025 dividend of Sh5.75 per share. This is equivalent to a growth of 35 percent and a payout ratio of 30 percent. In total, Equity Group shareholders will receive Sh21.7 billion in dividend payout.

This implies that going by the closing price of Sh78 per share that was recorded on the Equity counter a day before the financial results were released, the payout amounts to a dividend yield of 7.4 percent.

“This year, we are paying the highest dividend in our history, reflecting strong financial performance and sustained value creation. This milestone highlights the Group’s commitment to rewarding investor confidence while continuing to invest in growth and innovation,” said Dr. Mwangi.