KCB Group (KCB) Q4 2025 earnings summary

Executive summary

• Achieved record profit after tax of Ksh 68.4B, up 11% year-over-year, driven by prudent cost management and revenue growth.

• Balance sheet expanded by 9% to Ksh 2.1T, with strong asset growth across subsidiaries.

• Customer deposits rose 15% YoY to Ksh 1.59T, and gross loans grew 16% to Ksh 1.25T.

• Sale of NBK completed; acquisition of Riverbank Solutions finalized and minority stake in Pesapal progressing.

• Digital transformation accelerated, with 99% of transactions via non-branch channels and mobile loan disbursements up 30%.

Financial highlights

• Net interest income increased by 8% YoY to Ksh 148B, while total income grew 4% to Ksh 213.8B.

• Operating expenses declined by 3% YoY, improving cost-to-income ratio to 42.3%.

• Non-funded income fell 3% due to lower FX income and temporary branch closures in DRC.

• Group NPL ratio improved to 16.9%, with NPL stock down by Ksh 14B and strong coverage maintained.

• Return on equity reached 22.5%, with most subsidiaries above 20%.

Outlook and guidance

• FY 2026 guidance: loan growth 10–11%, deposit growth 9–11%, NIM 7.2–7.8%, cost/income ratio 43–45%, RoE 22–24%.

• NPL ratio expected between 14–16%, cost of risk 1.8–2.2%.