Listed financial services firm Britam Holdings Plc has posted a profit after tax of KSh 1.74Bn for the six months ended June 30, 2025, a 14% decline from KSh 2.01Bn a year earlier.
- •The drop came despite double-digit growth in insurance revenue and strong investment income, as rising finance expenses weighed on overall performance.
- •Net investment income surged 30% to KSh 17.3Bn, boosted by dividend income of KSh 10.6Bn and gains on financial assets, but higher finance expenses from insurance contracts eroded margins, cutting into profitability.
- •The group says it is well positioned to capitalize on emerging opportunities in the second half of 2025 as interest rates stabilize and conditions improve across its markets.
Britam’s insurance revenue rose 11% to KSh 19.7Bn, driven by growth across life and general insurance segments. Pretax profits stood at KSh 2.55Bn vs KSh 2.81Bn in 2024, while comprehensive income nearly doubled to KSh 1.78Bn on account of improved other comprehensive gains. Earnings per share fell to KSh 0.68 from KSh 0.80 a year earlier.
| Metric | Jun 30, 2025 | Jun 30, 2024 | YoY % / Status |
|---|---|---|---|
| Insurance revenue | 19.69 Bn | 17.81 Bn | +10.6% 🟢 |
| Net insurance service result | 1.29 Bn | 2.13 Bn | -39.4% 🔴 |
| Net investment income | 17.28 Bn | 13.27 Bn | +30.2% 🟢 |
| Net insurance & investment result | 2.61 Bn | 3.09 Bn | -15.6% 🔴 |
| Profit before share of profit of associates | 2.16 Bn | 2.67 Bn | -19.2% 🔴 |
| Share of profit of associates | 395.2 Mn | 138.8 Mn | +184.8% 🟢 |
| Profit before tax | 2.55 Bn | 2.81 Bn | -9.1% 🔴 |
| Profit after tax | 1.74 Bn | 2.01 Bn | -13.6% 🔴 |
| Comprehensive income | 1.78 Bn | 907.1 Mn | +96.4% 🟢 |
| Earnings per share (Sh) | 0.68 | 0.80 | -15.0% 🔴 |
| Total assets | 225.02 Bn | 208.53 Bn | +7.9% 🟢 |
| Total equity | 31.25 Bn | 29.46 Bn | +6.1% 🟢 |
| Total liabilities | 193.77 Bn | 179.07 Bn | +8.2% 🔴 |
| Cash & bank balances | 2.05 Bn | 1.68 Bn | +21.5% 🟢 |
| Net operating cashflow | (2.32 Bn) | 3.82 Bn | Worsened 🔴 |
Britam’s balance sheet strengthened, with total assets rising 8% to KSh 225Bn, while total equity grew to KSh 31.2Bn from 29.5Bn in December 2024. Cash and bank balances rose 22% to KSh 2.05Bn.
However, net operating cashflow swung to a deficit of KSh 2.3Bn compared to a KSh 3.8Bn surplus in H1 2024.
Strategic Outlook
Britam highlighted resilience in a difficult macroeconomic environment, pointing to growth in both Life and General insurance as evidence of effective execution of its strategy.
- •Interest and dividend income grew 16% to KSh 10.6Bn, supported by enhanced portfolio management and realignment of investment strategies.
- •Total equity rose to KSh 31.2Bn, underscoring balance sheet strength and the capacity to withstand market volatility. All regulated entities remain well capitalized.
The Board of Directors did not recommend an interim dividend for the half-year period ended June 2025, prioritizing capital preservation and sustainable growth.
