James Mwangi, Equity Group Managing Director and CEO
Equity Group Holdings Plc has reported the highest full-year profit in Kenya’s corporate history, with Profit After Tax rising by 55% to KSh75.5 billion for FY2025, up from KSh48.8 billion in 2024, driven by strong regional subsidiary.
Strong Financial Growth Driven by Transformation Strategy
The Group attributed the stellar performance to its ongoing business transformation, diversified revenue streams, and growing regional footprint. Its balance sheet expanded by 9% to KSh1.97 trillion, while customer deposits grew to KSh1.46 trillion and net loans increased to KSh882.5 billion.
Total income rose by 12% to KSh217.7 billion, supported by a 17% increase in net interest income to KSh126.9 billion and a 7% growth in non-funded income to KSh90.8 billion.
Improved Efficiency and Digital Expansion
Operational efficiency improved significantly, with the cost-to-income ratio declining to 51.0% from 58.2%. The Group credited this to migration դեպի digital platforms, productivity gains, and disciplined cost management.
Over 98% of transactions were conducted outside branches, with 88.4% processed through digital channels, underscoring growing demand for seamless digital banking services.
Loan loss provisions declined by 28%, while non-performing loan coverage strengthened to 67.7%, reflecting improved asset quality.
Regional Subsidiaries Drive Profitability
According to Equity Group Managing Director and CEO James Mwangi, the regional subsidiaries now contribute nearly half of the Group’s banking profitability.
Operations across Africa posted robust growth:
•Democratic Republic of Congo: Profit up 58% to KSh24.7 billion
•Uganda: Profit surged 500% to KSh3.6 billion
•Rwanda: Profit reached KSh5.4 billion
•Tanzania: Profit grew 125% to KSh2.7 billion
Overall, subsidiaries contributed 51% of profit before tax and 48% of profit after tax.
Equity Bank Kenya Delivers Strong Performance
Equity Bank Kenya Limited recorded a 63% rise in profit after tax to KSh39.2 billion, driven by strong net interest income growth and reduced interest expenses.
The bank also strengthened its leadership in SME financing, accounting for 45% of total industry lending to small and medium enterprises.
Dividend Growth Rewards Shareholders
On the back of the strong results, the Board recommended a dividend of KSh5.75 per share, up from KSh4.25, translating to a total payout of KSh21.7 billion, a 35.3% increase.
Insurance and Social Impact Arms Expand Reach
Equity Group Foundation continued to scale its impact across education, health, and enterprise development. The foundation supported over 1,100 scholars, trained nearly one million entrepreneurs, and enabled over 500,000 MSMEs to access KSh401 billion in credit.
Meanwhile, Equity Insurance Group posted strong growth, with gross written premiums rising 75% to KSh9.17 billion and profit before tax increasing by 36%.
Africa’s Economic Momentum Supports Growth
The Group highlighted Africa’s strong macroeconomic outlook, with several of the world’s fastest-growing economies located on the continent, including Rwanda and Uganda.
Commodity exports, stable inflation, and easing global pressures are expected to sustain growth despite short-term geopolitical risks.
Vision 2030: Scaling a Pan-African Financial Powerhouse
Mwangi said the Group will continue executing its Africa Recovery and Resilience Plan (ARRP), leveraging AI and digital innovation to deepen financial inclusion.
The strategy aims to expand operations to 15 countries and serve 100 million customers by 2030, positioning the Group as a Transformation Finance Institution driving inclusive growth across Africa.
Recognition and Market Leadership
The lender was named the Best Regional Bank in East Africa and retained its position as Kenya’s most valuable brand in 2025, reinforcing its leadership in financial services and commitment to socio-economic transformation.