Liberty Kenya Holdings Plc has reported a remarkable 109 percent increase in headline earnings, posting a Profit after Tax (PAT) of KShs 1.402 billion for the financial year ended December 31, 2024, up from KShs 672 million in 2023.
The impressive performance was driven by robust investment gains, improved insurance earnings, better claims experience, and disciplined cost management
Net investment income more than tripled, surging by 233 percent to KShs 4.741 billion from KShs 1.424 billion in 2023. This was largely attributed to a recovery in capital markets and favorable interest rate movements toward the end of the year.
The Group’s insurance revenue also showed resilience, rising to KShs 10.95 billion, while insurance service expenses declined slightly by 1.1 percent to KShs 8.53 billion. As a result, Liberty Kenya posted an insurance service result of KShs 1.004 billion, a 5.6 percent increase from KShs 951 million in 2023.
Earnings per share more than doubled, increasing by 112 percent to KShs 2.59 in 2024 from KShs 1.22 in 2023, reflecting the Group’s strong profitability and its commitment to creating shareholders
Liberty Kenya’s total assets grew by 10 percent to close the year at KShs 48.15 billion, up from KShs 43.76 billion in 2023, underscoring the company’s financial strength and ability to meet obligations.
During the year, the Group made progress in streamlining its portfolio, with the sale of its 60 percent stake in Heritage Insurance Tanzania currently in progress. The divestiture, classified as a discontinued operation in the 2024 results, is expected to conclude in the first half of 2025, pending regulatory approvals. The transaction is not anticipated to materially impact future earnings
“While the exceptional investment gains seen in 2024 may not be replicated in 2025, we remain well positioned for sustainable profitability through operational efficiency and strategic growth initiatives,” said Kieran Godden, Group Chief Executive Officer.
In light of the strong performance, the Board has proposed a final dividend of KShs 1 per share, comprising KShs 0.5 ordinary and KShs 0.5 special dividend. This marks a significant increase from the KShs 0.373 per share paid in 2023. The proposed dividend is subject to shareholder approval at the Annual General Meeting scheduled for May 23, 2025.
With a solid financial position, Liberty Kenya is well-placed to continue delivering value to its customers and stakeholders in the coming years.