Equity Group Holdings reported a robust 11.8% increase in profit before tax to KSh 41.54 billion, while profit after tax surged 16.9% to KSh 34.63 billion, underscoring strong performance across its East African footprint.
Core Financial Metrics
- Net Interest Income: Up 9.1% year-on-year to KSh 59.30 billion, driven by loan book expansion and improved net interest margins across subsidiaries.
- Non-Interest Income: Rose 4.6% to KSh 42.78 billion, supported by higher fees, commissions, and forex trading gains.
- Operating Income: Increased 3.1% to KSh 100.20 billion.
- Earnings Per Share: Improved to KSh 8.83 from KSh 7.56 in H1 2024.
- Cost-to-Income Ratio: Declined to 59.9% from 60.4%, reflecting operational efficiency gains.
Balance Sheet Highlights
- Total Assets: Grew 3.0% to KSh 1.799 trillion, driven by investment securities and loan growth.
- Customer Deposits: Rose 1.6% to KSh 1.320 trillion.
- Total Equity: Jumped 25.2% to KSh 276.07 billion, reinforcing capital adequacy.
- Core Capital to TRWA: Stood at 16.5%, comfortably above the 10.5% regulatory minimum.
Asset Quality Trends
- Group NPL Ratio: Closed at 13.7%, down from 14.0% in Q1 2025 but above 12.9% in H1 2024.
- Corporate NPLs: Rose sharply to 24.5% from 16.1% in June 2024.
- MSME NPLs: Improved to 14.2% from 13.5%.
- IFRS Coverage Ratio: Maintained at 90.0%, with 68.2% on loans and 21.8% on guarantees.
Subsidiary Performance Across East Africa
| Subsidiary | Net Interest Margin (NIM) | Return on Assets (ROA) | Return on Equity (ROE) |
|---|---|---|---|
| Equity Bank Kenya (EBKL) | 7.5% | 3.9% | 28.1% |
| Equity Bank Congo DRC (EBCDC) | 7.1% | 3.1% | 23.5% |
| Equity Bank Uganda (EBUL) | 9.1% | 3.4% | 25.1% |
| Equity Bank Rwanda (EBRL) | 7.4% | 4.1% | 29.6% |
| Equity Bank Tanzania (EBTL) | 8.7% | 4.0% | 27.0% |
| Equity Bank South Sudan (EBSSL) | 2.1% | -0.8% | -3.7% |
Geographic Profit Contributions
- EBKL: 20.0% (vs. 17.2% in H1 2024)
- EBUL: 14.5% (vs. 17.9%)
- EBSSL: 7.7% (vs. 0.4%)
Insurance Operations
Equity Insurance posted a 26% rise in profit before tax to KSh 932 million, driven by strong premium growth and investment income.
- Gross Written Premiums: Up 115% to KSh 5.18 billion
- Insurance Revenue: Increased 59% to KSh 1.63 billion
- Net Insurance & Investment Revenue: Grew 30% to KSh 1.05 billion, with net investment income contributing KSh 775 million
- Insurance Assets: Rose 40% to KSh 31.48 billion
- Contract Liabilities: Increased 27% to KSh 23.93 billion
Commenting on the Half Year 2025 performance, Equity Group Managing Director and CEO Dr. James Mwangi said, “The execution of the strategic business plan has started to reflect on the balance sheet and performance of the Group in agriculture, mining, manufacturing, trade and investment, and small and medium enterprises (SMEs) that populate the ecosystems of the formal sector in these value chains and is likely to significantly and increasingly transform the structure and performance of the Group. Continued execution has resulted in transformation of the balance sheet structure and the resultant profit and loss structure, creating resilience in performance.”
Equity Group’s Vision for Inclusive Banking and Regional Integration
