KCB Group PLC has posted an impressive KCB Group profit growth in the nine months to September 2025, recording a net profit of KSh 47.3 billion, supported by strong income performance across its regional businesses and disciplined cost management.
The Group’s balance sheet also crossed the KSh 2 trillion mark, signalling another milestone in its sustained KCB Group profit growth strategy.
KCB Group Profit Growth Driving Regional Strength
KCB Group reported steady momentum across its subsidiaries, with all entities outside Kenya contributing 35% of profit before tax and 31% of the Group balance sheet underlining the impact of regional expansion on overall KCB Group profit growth.
The Group’s total assets rose to KSh 2.04 trillion, a 2.6% increase, despite the sale of the National Bank of Kenya (NBK) earlier this year. Without factoring in the sale, assets grew by an impressive 10.9%.
Gross loans rose 7% to KSh 1.24 trillion, anchored on lending to key economic sectors such as construction, agriculture, manufacturing, energy, and water areas central to national development.
Subsidiaries Outperform
Non-banking subsidiaries continued to strengthen the Group’s performance, posting solid earnings:
- KCB Bancassurance – KSh 833 million (16% growth)
- KCB Investment Bank – KSh 230 million (90% growth)
- KCB Asset Management – KSh 118 million (71% growth)
CEO Commentary on Outlook
Group CEO Paul Russo credited the results to resilience across markets and strategic execution.
“Despite a tough operating environment, we have delivered a strong performance. Our strategy anchored on ‘Transforming Today Together’ continues to create value for customers, shareholders, and partners,” he said.
Total revenue grew 4.5% to KSh 149.4 billion, driven largely by net interest income which jumped 12.4% to KSh 104.3 billion. Non-interest income closed at KSh 45.1 billion, cushioned by improved digital channels despite pressure from lower forex earnings and reduced commissions.
KCB’s revamped mobile banking app featuring instant self-onboarding has boosted digital activity and protected non-funded income lines.
Cost management remained tight, with expenses rising only 2%, below the prevailing inflation rate. This efficiency pushed the cost-to-income ratio down to 46.2%.
Strengthened Asset Quality & Capital Buffers
The Non-Performing Loan (NPL) ratio dropped to 17.8% from 18.5%, supported by recoveries and the exit of NBK. The Group’s capital and liquidity remained strong, with all subsidiaries meeting regulatory thresholds:
Core capital ratio: 17.0% (minimum 10.5%)
Total capital ratio: 19.6% (minimum 14.5%)
Liquidity ratio: 46.7%
Returns to shareholders remained solid, with a Return on Equity (ROE) of 21.6% and Return on Assets (ROA) of 3.1%.
Corporate Milestones
Key developments in the past quarter include:
- Dividend payout of KSh 13 billion at KSh 4.00 per share (Nov 11).
- Investment agreement for a minority stake in Pesapal Limited to drive inclusive digital commerce (Nov 3).
- Partnership with Kenya Investment Authority to support foreign investors (Oct).
- Sustainability report launch, revealing KSh 53.2 billion in green loans and strengthened ESG assessments.
- Afreximbank partnership for combined financing of US$ 800 million to support Vipingo Special Economic Zone (Sept).
- Sale of NBK concluded on May 30.
Multiple global accolades, including being named one of Africa’s fastest-growing companies by the Financial Times.
Read Also: KCB Half-Year Results: Net Profit Up 8% as Dividends Hit Historic High
