KENYA ; Equity Group Holdings Plc announced a 32% year-on-year increase in profit after tax for the third quarter of 2025, driven by strong regional performance, diversified revenue and a recovery in its flagship Kenyan banking unit.
The Group’s profit after tax surged to Kshs 54.1 billion, up from Kshs 40.9 billion in the same period last year.
“The execution of the strategic business plan has started to reflect on the balance sheet and performance of the Group,” said Dr. James Mwangi, Equity Group managing director and CEO.
The Group’s performance was underpinned by contributions from its regional subsidiaries, which now account for 50% of deposits and 53% of the loan book. Equity Bank’s regional banking business contributed 42% of the Group’s profit after tax.
In Uganda, profit after tax increased 61% to Kshs 2.9 billion. The unit saw its nonperforming loan (NPL) ratio drop significantly to 8.8% from 20.9%. Investment securities grew by 23% to Kshs 39.6 billion. In DRC, loans and advances grew by 19%. Profit after tax increased 21% to Kshs 13.8 billion. Rwanda saw loan growth of 34% year-on-year, and Tanzania’s profit after tax grew 88% to Kshs 1.5 billion.
Equity Bank Kenya’s profit after tax rose 51% to Kshs 31.1 billion. The bank disbursed 45% of the Kshs 201 billion micro, small and medium enterprise (MSME) loans in Kenya between January and July 2025. Equity Insurance Group sustained momentum, reporting a 71% increase in gross written premiums and a 36% growth in profit before tax.
The Group maintained profitability ratios with Return on Average Equity (RoAE) at 26.4% and Return on Average Assets (RoAA) at 4.1%. Its cost-to-income ratio improved to 50.6% from 55.1%.
The Group’s nonperforming loan ratio improved to 12.1% across the group, down from a peak of 14.0% in the first quarter of 2025. This was below the Kenyan industry average of 17.1% as of September 2025.
Equity Group is currently implementing a 2030 strategic plan to align with the Africa Recovery and Resilience Plan, with an ambition to serve 100 million customers across 15 countries. The plan includes upgrading systems with next-generation technology, artificial intelligence and data analytics.
“With system stability now fully restored, we are focused on expanding our product offerings to better serve our customers,” Mwangi said. He added that the Group remains committed to supporting MSMEs.
The Group reported achieving approximately Kshs 98 billion ($715 million USD) cumulatively in social impact and sustainability investment initiatives during the quarter through the Equity Group Foundation.
Related Posts:
Recommended for you
Leave a Reply
Leave a Reply