NCBA Group has reported a solid third-quarter performance for the period ended 30 September 2025, with profit after tax rising 8.5% year-on-year to KSh 16.38 billion, driven by improved margins and disciplined cost-of-funding management.
“Our profitability was driven by prudent cost of funding management and better asset quality,” said NCBA Group Managing Director John Gachora. “Over the review period, regional subsidiaries demonstrated improved effectiveness in recovering bad debts, reflecting disciplined execution of remedial actions.”
NCBA Q3 2025 Financial Performance Summary
| Metric | Q3 2025 | Q3 2024 | YoY Change |
|---|---|---|---|
| Net Interest Income | KSh 32.04Bn | KSh 25.14Bn | ▲ +27.44% |
| Non-Interest Income | KSh 21.40Bn | KSh 21.82Bn | ▼ –1.89% |
| Operating Income | KSh 53.44Bn | KSh 46.96Bn | ▲ +13.81% |
| Total Operating Expenses | KSh 32.99Bn | KSh 28.57Bn | ▲ +15.47% |
| Loan Loss Provision | KSh 5.08Bn | KSh 4.08Bn | ▲ +24.49% |
| Profit Before Tax | KSh 20.46Bn | KSh 18.39Bn | ▲ +11.24% |
| Profit After Tax | KSh 16.38Bn | KSh 15.10Bn | ▲ +8.46% |
| Total Assets | KSh 665.32Bn | KSh 678.83Bn | ▼ –1.99% |
| Total Equity | KSh 120.25Bn | KSh 99.81Bn | ▲ +20.48% |
| Customer Deposits | KSh 487.96Bn | KSh 515.11Bn | ▼ –5.27% |
| Loans and Advances (Net) | KSh 292.72Bn | KSh 303.45Bn | ▼ –3.54% |
| Gross Non-Performing Loans | KSh 38.68Bn | KSh 41.15Bn | ▼ –5.99% |
| Earnings Per Share (EPS) | 9.94 | 9.16 | ▲ +8.52% |
Digital Lending and Subsidiary Performance
Digital lending remained NCBA’s strongest growth engine, with disbursements crossing KSh 1 trillion, up 35% year-on-year. The bank credited its digital channels for supporting customer activity and repayment discipline across Kenya, Uganda, Tanzania, and Rwanda.
Subsidiary contributions to Group Profit Before Tax (PBT) were as follows:
- Kenya Bank: 82% of Group PBT
- Regional Units: KSh 2.6Bn in PBT
- Non-Banking Units (Investment Bank, Insurance, Leasing): KSh 1.2Bn in PBT, up 48%
Strategic Adjustments and Operational Highlights
NCBA’s profit before tax rose 11.1% to KSh 20.5 billion, while operating income grew 13.8% to KSh 53.4 billion. Operating expenses increased by 14%, largely due to staff costs and technology investments. The bank’s loan loss provision rose 24.5% to KSh 5.1 billion, reflecting a cautious credit stance.
“Our balance sheet remained solid, with assets and customer deposits impacted by pricing adjustments and softer lending activities across the markets,” Gachora added.
The bank’s gross non-performing loans fell 6.0%, with coverage improving to 68.9%, signalling stronger recoveries across regional subsidiaries.
Lending Rate Cuts and Network Expansion
NCBA issued its fifth base lending rate cut of the year, lowering it to 13.27%, while continuing monthly account maintenance fee waivers in Kenya and Rwanda. The bank’s branch network expanded to 122 outlets, supported by targeted product campaigns and increased customer engagement.
