KCB Boosts Shareholder Returns with Total Dividend of KShs 22 Billion

KCB Group PLC has recorded a strong financial performance for the year ending December 2025, posting a profit after tax of KShs. 68.4 billion, up 11% from the previous year. The growth was driven by an expanded loan book, increased income across key business lines, and disciplined cost management across the Group. On the back of this performance, the Board has proposed a final dividend of KShs. 3 per share, subject to shareholder approval. Combined with an interim dividend of KShs. 4 per share paid in November 2025, the total dividend payout for the year amounts to KShs. 7 per share, translating to KShs. 22 billion in returns for shareholders. Strong Balance Sheet and Revenue Growth The Group maintained a robust balance sheet, with total assets increasing by 9.3% to KShs. 2.15 trillion, despite divesting from National Bank of Kenya. Customer loans grew by 15% to KShs. 1.59 trillion, supporting interest-earning assets that rose 13.8% to KShs. 1.84 trillion. Total revenues reached KShs. 214 billion, up from KShs. 204 billion in 2024, fueled by higher net interest income and digital banking initiatives, which contributed 31% of total revenue. CEO Highlights Performance and Innovation Speaking on the results, KCB Group CEO Paul Russo said: “Our 2025 performance reflects the strength of the KCB franchise, the resilience of our regional footprint, and the continued trust that customers place in us. Despite a challenging operating environment, we delivered solid growth driven by disciplined execution, continued investment in digital innovation, and our unwavering commitment to supporting sector-focused lending that catalyzes economic transformation across the region. We remained focused on sustainable growth, supporting customers and delivering long-term value for shareholders.” Regional Diversification Pays Off The Group’s regional strategy continued to yield strong results. Subsidiaries outside Kenya contributed 30.7% of profit before tax (PBT) and accounted for 30.5% of the Group’s balance sheet, demonstrating the success of KCB’s multi-market growth model. Non-banking subsidiaries recorded strong growth: KCB Bancassurance Intermediary: KShs. 1.14 billion (+29%) KCB Investment Bank: KShs. 348 million (+31%) KCB Asset Management: KShs. 160 million (+54%) Cost management remained a key focus, with the cost-to-income ratio dropping to 42.5% from 45.4% and operating expenses declining by 2.5% year-on-year. Balance Sheet and Asset Quality Gross loans and advances increased 16.2% to KShs. 1.25 trillion, driven by new-to-bank growth across critical sectors. Deposits grew 15% to KShs. 1.59 trillion, maintaining a stable franchise across all markets. Asset quality improved, with the Non-Performing Loans (NPL) ratio declining to 16.9% from 19.2%, supported by proactive rehabilitation and recovery strategies. The gross NPL stock fell to KShs. 211.8 billion, down from KShs. 225.7 billion in 2024. KCB maintained a strong capital and liquidity position, with core capital at 18.4% of total risk-weighted assets, above the statutory minimum of 10.5%, and total capital ratio at 22.1% (regulatory minimum 14.5%). Liquidity stood at 50.8% (regulatory minimum 20%). Shareholder returns remained robust, with ROAE at 22.5% and ROA at 3.3%, while shareholder funds totaled KShs. 331 billion. Optimistic Outlook KCB Group Chairman Dr. Joseph Kinyua said: “Looking ahead, we are optimistic about sustained business activity and economic growth prospects across the markets we operate in. We are closely watching the increased global uncertainties attributed to heightened geopolitical tensions and higher tariffs. The Board remains committed to providing strong governance and strategic oversight to ensure that KCB continues to deliver long-term value while supporting economic transformation across East Africa.” Key Corporate Initiatives CSR and ESG Commitments: KCB supported targeted sponsorships and social investments, aligning with its Environmental, Social, and Governance objectives. World Rally Championship: KCB Bank Kenya allocated KShs. 227 million to the 2026 WRC Safari Rally Kenya, marking the sixth consecutive year of sponsorship. Green Finance and Trade Support: In partnership with the African Development Bank (AfDB), KCB Bank Kenya signed a $150 million financing package to support climate-smart investments and trade finance for SMEs and corporates. Digital Expansion: KCB invested in Pesapal Limited, accelerating inclusive digital growth across Africa, and received CAK approval to acquire 75% of a payments technology firm. The Group also launched a new unified mobile app enhancing payments, savings, and investments. Accolades: KCB received multiple local, regional, and global awards, including Top Bank in Africa recognition from The Banker, highlighting its commitment to innovation, inclusive banking, and purpose-led leadership.