NCBA Group has reported a profit after tax of KES 5.5 billion in its Q1 2025 financial results. This represents a 3% compared to KES 5.3 billion reported during a similar period in 2024.
The rise in profitability was on the back of a 21% rise in the Net Interest Income to Ksh. 9.9 Billion. With the Total Operating Income rising by 8.5% to Ksh. 17.3 Billion.
The Regional Banking subsidiaries delivered profit before tax of KES 1.1billion, contributing a solid 16 per cent to the Group`s overall profitability. The Non-Banking subsidiaries delivered a consolidated positive profit of KES 328 million, contributing 5 per cent to Group profitability.
On the other hand, Operating Expenses grew by 11.2% to Ksh. 10.5 Billion. This was largely driven by a 20% rise in the loan loss provision to Ksh. 1.6 Billion and a 13.4% rise in staff costs to Ksh. 3.6 Billion.
During the period, digital Loans disbursed were KES 307 billion, 32 per cent up year on year. However, customer deposits closed at KES 496 billion, 9.5 per cent down year on year while total Assets closed at KES 656 billion, 5.6 per cent down year on year.
NCBA Group Managing Director, John Gachora remarked, “Despite the headwinds of 2025, we are pleased to present these positive results in the first quarter of 2025. The profitability performance demonstrates underlying resilience in our core income streams, while strong recovery efforts improved our asset quality. The contraction in customer deposits and assets was driven by strategic initiatives focused on optimizing funding costs and enhancing asset allocation efficiency.”
Looking ahead, Mr. Gachora had this to say, “According to the latest Government of Kenya economic update, while there is heightened uncertainty on the Global economy projected to grow at 2.8 per cent in 2025 from the earlier projection of 3.3 per cent, the Kenyan economy continues to demonstrate resilience with the easing of monetary policy which will hopefully translate to improved private sector lending and consumer confidence. NCBA remains steadfast in building a strong future-ready institution anchored on innovation, inclusivity and sustainable growth. As we continue to reinforce customer obsession across the region.”