Mid-tier lender Family Bank Limited has posted a 38.8% rise in net profits to KShs 2.28 billion for the first half of 2025, up from KShs 1.65 billion in the same period last year.
- •The growth was driven by higher lending income, a strong liquidity position, and expense management.
- •The bank’s total interest income surged 24.07% to KShs 11.39 billion, up from KShs 9.18 billion in June 2024.
- •In May, the lender said it plans to list on the NSE, preferably by introduction, subject to securing capital from institutional investors on favorable terms.
Loans and advances were the biggest contributor to the lender’s total interest income, generating KShs 7.8 billion, while income from government securities nearly doubled to KShs 3.4 billion.
This was supported by a 10% growth in the loan book, which closed at KShs 100.9 billion, up from KSh 91.4 billion a year earlier- supported by recent funding partnerships with British International Investment and the European Investment Bank, which have expanded access to financing for SMEs. Beyond lending, the bank’s non-interest income grew by 17.82% to KShs 2.68 billion, buoyed by fees, commissions, and forex trading.
“This momentum is further supported by our 2025–2029 strategy, which focuses on scaling SME lending, driving innovation and digital transformation, and delivering a customer experience that positions Family Bank as the financial partner of choice for individuals and businesses across Kenya,” Family Bank CEO Nancy Njau said.
On the cost side, interest expenses rose by 5.5% to KShs 4.44 billion, as customer deposits expanded to KShs 150.4 billion, compared to KShs 119.07 billion in June 2024. This helped lift net interest income by 39.97% to KShs 6.95 billion.
Operating expenses increased to KShs 6.71 billion, up from KShs 4.92 billion last year, largely due to staff and technology investments. Loan loss provisions also rose to KShs 664 million.
Asset Quality, Capital, and Outlook
Gross non-performing loans edged up slightly to KShs 15.2 billion, from KShs 14.1 billion last year, but provisions helped contain net NPLs at KShs 3.4 billion. The bank’s capital adequacy ratios remained above regulatory thresholds, with a core capital-to-risk weighted assets ratio of 13.3% (above the 10.5% minimum). Liquidity stood strong at 53.1%, more than double the statutory 20.0%.
With total assets up by 21.85% year-on-year to KShs 192.9 billion, Family Bank continues to strengthen its position as a mid-tier lender. Its strategy of growing retail and SME lending, supported by a solid deposit base and strong liquidity, positions it well for the remainder of 2025 despite a challenging interest rate environment.
Key Highlights- H1 2025 vs H1 2024
| Metric | June 30, 2025 | June 30, 2024 | YoY Change |
| Net Interest Income | KShs 6.95 Billion | KShs 4.97 Billion | 39.80% |
| Non- Interest Income | KShs 2.69 Billion | KShs 2.38 Billion | 13.00% |
| Operating Expenses | KShs 6.71 Billion | KShs 4.93 Billion | 36.10% |
| Operating Income | KShs 9.64 Billion | KShs 7.25 Billion | 33.00% |
| Profit Before Tax (PBT) | KShs 2.93 Billion | KShs 2.32 Billion | 26.30% |
| Profit After Tax (PAT) | KShs 2.29 Billion | KShs 1.65 Billion | 38.79% |
| Total Assets | KShs 192.86 Billion | KShs 158.34 Billion | 21.80% |
| Customer Deposits | KShs 150.39 Billion | KShs 119.07 Billion | 26.30% |
| Loans & Advances | KShs 100.91 Billion | KShs 91.40 Billion | 10.40% |
| Gross NPLs | KShs 15.22 Billion | KShs 14.07 Billion | 8.17% |
| Earnings per Share (EPS) | KShs 1.75 | KShs 1.27 | 37.80% |
