KCB Group’s pre-tax profit for 2024 increased to 81.97 billion Kenyan shillings ($636.41 million), up from 48.45 billion Kenyan shillings in the previous year.
After-tax profit surged by 64.9%, reaching 61.8 billion Kenyan shillings.
Key performance drivers included a 28% growth in net interest income and an 11% reduction in provisions for expected credit losses, attributed to the strengthening Kenyan shilling and effective loan recovery strategies.
The Group’s customer deposits rose to 1.4 trillion shillings from 990.4 billion shillings year-over-year.
KCB Group, with operations in Kenya, the Democratic Republic of Congo, Tanzania, Rwanda, South Sudan, Uganda, and Burundi, saw its regional subsidiaries contribute 30% to the Group’s net profit, with revenues climbing 16% to 73.28 billion Kenyan shillings.
Shareholders are set to receive a total dividend payout of 9.6 billion Kenyan shillings, representing 3 shillings per share.
The Board of Directors recommended a final dividend of 1.5 shillings per share, payable around May 23, 2025.
Group CEO Paul Russo emphasized the group’s strategic focus on revenue growth, cost efficiency, and balance sheet strengthening, highlighting a 24% increase in total revenue to 204.9 billion Kenyan shillings, driven by higher interest income and a 33% surge in non-funded income from foreign exchange trading.
“Our performance reflects our strategic focus on revenue growth, cost efficiencies, and strengthening our balance sheet,” said Russo while releasing the lender’s results on Wednesday.
The Group’s balance sheet closed at 1.96 trillion Kenyan shillings, supported by a robust deposit base and stable loan portfolio. Digital lending saw mobile loan disbursements rise by 21% to 407 billion Kenyan shillings.
However, gross non-performing loans increased by 8.4% to 225.7 billion Kenyan shillings, reflecting challenging economic conditions.
KCB Group’s Female-Led and Managed Enterprises (FLME) initiative continued to support women-led businesses, with over 860 female entrepreneurs empowered in 2024.
The FLME initiative has allocated 250 billion Kenyan shillings over five years to address financial access gaps.
Dr. Joseph Kinyua, KCB Group Board Chairman, expressed optimism about economic recovery across markets, citing resilience in key service sectors, agriculture, and expected growth in private sector credit and exports.