HF Group has posted a sharp rebound in profitability, reporting a 250 percent jump in profit before tax to KES 1.61 billion for the financial year ended 2025, up from KES 0.46 billion in 2024, driven by robust growth in both interest and non-interest income streams.
The lender’s performance was supported by a 48 per cent rise in total operating income to KES 6.17 billion, reflecting improved revenue generation across its core business lines.
Net interest income grew significantly by 64 per cent to KES 4.36 billion, while non-funded income rose by 20 per cent to KES 1.81 billion, boosted by higher transaction volumes, fees, and diversification of revenue streams.
HF Group’s balance sheet also expanded during the period, with total assets increasing by 17 per cent to KES 82.4 billion, underscoring growing customer confidence, and improved market activity.
Customer deposits climbed 19 per cent to KES 56.90 billion, supported by enhanced value propositions and a broader deposit mobilization strategy. The Group also recorded a 130 basis point reduction in the cost of deposits, reflecting improved funding efficiency.
Income from government securities registered strong growth, rising by 79 per cent to KES 2.83 billion, further strengthening overall earnings.
Speaking on the results, HF Group Chief Executive Officer Robert Kibaara said the performance reflects the success of the institution’s transformation strategy.
“These results demonstrate that our transformation strategy continues to deliver strong and sustainable growth. We have strengthened our balance sheet, grown our deposit base, diversified our income streams, and improved operational efficiency across the Group,” he said.
Kibaara added that the Group is now focused on scaling digital platforms, expanding its suite of financial solutions, and deepening customer relationships to sustain long-term growth.
The lender maintained solid capital and liquidity buffers, with its liquidity ratio closing at 51.5 per cent, more than double the regulatory minimum of 20 per cent. The core capital to risk-weighted assets ratio stood at 21.8 per cent, well above statutory requirements.
Notably, HF Group’s core capital surpassed the KES 10 billion mark, enabling it to meet revised regulatory capital thresholds four years ahead of the 2029 deadline, positioning the institution strongly for future growth.