NCBA Group has posted a net profit of KSh 21.9 billion for the full year 2024 which represents a 1.9% increase from 2023.
The rise in profitability was on the back of a rise in the total interest income to Ksh. 75 Billion up from Ksh. 65 Billion in 2023. At the same time income from Government securities reduced to Ksh. 25 Billion down from Ksh. 27 Billion in 2023. Income from forex trading also took a hit dropping to Ksh. 6.2 Billion down from Ksh. 8.3 Billion in 2023.
Total operating expenses dropped marginally to Ksh. 37 Billion down from Ksh. 38 Billion in 2023. This was due to a reduction in the loan loss provision to Ksh. 5.4 Billion down from Ksh. 9 Billion in 2023.
NCBA’s customer deposits have reduced from KSh 579 billion in 2023 to KSh 502 billion last year. Its total assets have also fallen from KSh 735 billion in 2023 to KSh 666 billion in 2024.
The bank crossed the KES 1 trillion mark on digital loan disbursements. With the Non-performing loan (NPL) ratio standing at 11.2 per cent reflecting disciplined credit underwriting, proactive portfolio monitoring, and strong customer engagement strategies. Impairment coverage stood at 60 per cent, with the Group remaining well-capitalized with sufficient provisions.
Mr. John Gachora, NCBA Group Managing Director, said, “We are pleased to announce our Full Year 2024 financial results which reflect the resilience of our diversified business model. The underlying trends of our P&L remained solid while our cost increase of 10 per cent was driven by targeted investments in digital
transformation, network expansion and operational efficiency which have positioned us for long-term growth. Amidst ongoing external headwinds, NCBA’s strategic imperatives have enabled us to deliver shareholder value.”
The bank’s Board announced a Final dividend of Ksh. 3.25 per share (KES 5.50 Total).