KCB Group was the best performing bank by in Kenya by profitability in the financial year 2024. An analysis of the financial results released by listed commercial banks shows that KCB dominated the 2024 financial year. This is unlike previous years in which the profit race has been a close two-horse race between KCB Group and the Equity Group.
In the year under review, KCB realized a Sh61.8 billion profit after tax for the full year ended December 2024. This was equivalent to a profit rise of 64.9 percent from the Sh36.1 billion net profit that the bank had realized in the same period the previous year.
In contrast, Equity realized a 11.6 percent growth in net profit to Sh48.8 billion. In the previous year, the bank’s net profit had dipped by 5.1 percent to Sh43.7 billion. This means that KCB made Sh13 billion more in net profit ahead of second-placed Equity.
Further analysis shows that on total assets, KCB Group’s total assets closed at Sh1.96 trillion. This was a 10 percent drop in assets, which the bank attributed to an appreciation of the Kenyan currency against foreign currencies. On the other hand, Equity closed the financial year under review with Sh1.8 trillion in total assets.
Customer deposits at KCB, Equity hit Sh. 2.82 trillion in nine months
Equity Group led in paying out dividends. The bank raised its dividend by 6.2 percent to Sh4.25 per share from the Sh4 per share dividend that was paid out in the previous 2023 financial year. In total, shareholders will receive Sh16 billion in dividend.
In contrast, KCB announced that its total dividend for the year under review will be Sh3 per share. In total, the bank will pay its shareholders Sh9.6 billion in total dividend.
When it came to customer deposits, KCB saw a drop of 18.4 percent in customer deposits to Sh1.38 trillion from Sh1.69 trillion in the previous year. Equity on the hand saw a growth of 3 percent in customer deposits to Sh1.4 trillion.
In total, the two banks realized a combined net profit of Sh110.6 billion for the full year 2024, with combined total deposits of Sh2.78 trillion.
On the Nairobi Securities Exchange, KCB shares are currently trading at around Sh42 per share, having closed trading day on March 28 at an average of Sh42.15 per share. The shares have a one-year high of Sh47 per share and a one-year low of Sh26.50 per share.
On the other hand, Equity shares are currently trading at around Sh47 per share, having closed the market at an average of Sh47.10 per share on March 28. The shares have a one-year high of Sh51 per share and a one-year low of Sh38.35 per share.
