.png?key=small-avif)
The largest bank in East and Central Africa by market capitalization, Equity Group Holdings Plc, has reported a net profit of KSh 15.4 billion for the first quarter ended March 31, a 4% decline compared to KSh 16.0 billion in Q1 2024.
- •The dip was largely driven by a 12% drop in non-funded income and weak performance from South Sudan operations.
- •Despite this, the Group’s balance sheet strengthened, subsidiaries delivered steady earnings, and non-banking diversification gained traction.
- •The regional lender has reported total income of KSh 48.2 billion for Q1 2025, representing a 4% year-on-year decline.
Net interest income rose by 3% to KSh 28.6 billion and loan loss provisions fell by 44% to KSh 3.4billion, helping cushion the revenue dip.
As a result, profit before tax (PBT) stood at KSh 18.7 billion, down 8% from the previous year. Excluding the underperformance of the South Sudan unit (EBSSL)—which posted a KSh 0.1 billion loss—Group PBT would have increased by 8%, highlighting strong performance across the core and regional subsidiaries.
| Metric | Q1 2025 | Q1 2024 | YoY Change |
|---|---|---|---|
| Total Income | KSh 48.2Bn | KSh 50.0Bn | –4% |
| Net Interest Income | KSh 28.6Bn | KSh 27.8Bn | +3% |
| Non-Funded Income | KSh 19.6Bn | KSh 22.3Bn | –12% |
| Loan Loss Provisions | KSh 3.4Bn | KSh 6.1Bn | –44% |
| PBT | KSh 18.7Bn | KSh 20.2Bn | –8% |
| PAT | KSh 15.4Bn | KSh 16.0Bn | –4% |
Despite the global uncertainties and geopolitical tensions that have created a complex financial landscape, Equity remains resilient and focused on delivering value to all our stakeholders.
Dr. James Mwangi, Managing Director and CEO, Equity Group
Subsidiary Highlights: Kenya Steady, Tanzania and DRC Impressive
Equity Bank Kenya remained the largest contributor, delivering KSh 8.5 billion in PAT, about 57% of Group profit. Its loans were flat at KSh 421.5 billion, while deposits grew to KSh 792.7 billion. However, NPLs rose to 19.0%.
Equity Bank Tanzania recorded the highest growth, with PBT up 540% to KSh 0.6 billion, driven by a significant drop in NPLs to 3.0% and strong non-funded income. DRC’s Equity BCDC posted KSh 4.7 billion in PBT, remaining resilient in local currency terms despite nominal declines.
Rwanda and Uganda contributed KSh 1.1 billion and KSh 1.2 billion, respectively.
Equity is strongly positioned across all our subsidiaries. As we continue our transformation journey, we see significant opportunities for sustained growth.
Said Mwangi
| Item | Q1 2025 | Q1 2024 | YoY Change |
|---|---|---|---|
| Total Assets | KSh 1.75T | KSh 1.68T | +4% |
| Net Loans | KSh 804.7Bn | KSh 782.5Bn | +3% |
| Customer Deposits | KSh 1.32T | KSh 1.23T | +7% |
| Govt Securities | KSh 548.3Bn | KSh 472.2Bn | +16% |
| Borrowed Funds | KSh 72.9Bn | KSh 126.0Bn | –42% |
| Shareholders’ Equity | KSh 264.7Bn | KSh 218.9Bn | +21% |
Equity Group’s non-banking arm delivered KSh 0.6 billion in PAT, accounting for 4.0% of Group earnings, up from 3.1% last year. Insurance revenue more than doubled to KSh 1.08 billion, led by Equity Life Assurance Kenya, which now holds a 16% market share in group credit life.
The Insurance business continues to deliver good results, with Profit Before Tax rising 27% to Kshs. 414 million from Kshs. 321 million.
Noted James Mwangi
