KCB Group Plc has announced a record-breaking KShs.13 billion interim and special dividend payout after posting an 8 per cent growth in net profit to KShs.32.3 billion for the first half of 2025.
The Board of Directors recommended an interim dividend of KShs.2.00 per share and a special dividend of KShs.2.00 per share, marking the largest interim payment and first-ever special dividend in the lender’s history. The special dividend follows the sale of the National Bank of Kenya (NBK).
Releasing the results on Wednesday, Group Chief Executive Officer Paul Russo said the bank’s resilience across markets was anchored on customer-centric strategies despite economic pressures in key markets such as Kenya.
“We have placed our customers at the fore to ensure we meet their needs in a timely manner,” Russo noted.
Total assets closed the period at KShs.1.97 trillion, unchanged despite the NBK sale, reflecting the Group’s capacity to support customers across its seven operating countries.
The loan portfolio grew 2.8 per cent to KShs.1.18 trillion—12 per cent growth when excluding the NBK impact—while customer deposits stood at KShs.1.48 trillion.
Subsidiaries outside Kenya contributed 33.4 per cent of profit before tax and 31.4 per cent of the balance sheet, while non-banking entities, including KCB Investment Bank and KCB Asset Management, saw their PBT share rise to 2.1 per cent from 1.8 per cent last year.
Total revenue rose 4.3 per cent, buoyed by a 12.7 per cent jump in net interest income to KShs.69.1 billion, supported by higher loan yields and volumes. Non-funded income remained steady at KShs.29.5 billion, accounting for 29.9 per cent of revenue, despite reduced foreign exchange earnings.
Digital transactions dominated, with 99 per cent of transactions conducted outside branches. The bank also unveiled a new unified mobile app on August 11, 2025, featuring self-onboarding capabilities powered by AI, data analytics, and a mini-app ecosystem.
Costs were contained, rising 2.4 per cent to KShs.45.4 billion, keeping the cost-to-income ratio stable at 46 per cent. Non-performing loans dropped slightly to 18.7 per cent from 19.2 per cent in December 2024, with the NPL stock at KShs.221.1 billion.
Capital and liquidity buffers remained well above regulatory requirements, with a core capital ratio of 17 per cent against a minimum of 10.5 per cent, a total capital ratio of 19.7 per cent against 14.5 per cent and a liquidity ratio of 47.2 per cent.