Listed financial services company Liberty Kenya Holdings PLC has reported total earnings of KSh 487 million, down sharply from KSh 1.40 billion in 2024, for the year ended December 2025.
- •Weaker underwriting margins across both the life and general insurance businesses, as well as the absence of the unusually strong investment performance recorded in the prior year, contributed to the decline.
- •The company has said it expects continued growth across both insurance businesses but it will maintain a cautious stance amid persistent geopolitical uncertainties and evolving global financial conditions.
- •Profit before tax from continuing operations fell to KSh 1.09 billion, down from KSh 2.09 billion a year earlier; after accounting for taxation and losses from discounted operations- related primarily to the sale of the Group’s stake in Heritage Insurance Tanzania- total earnings settled at KSh 487 million.
Despite the earnings contraction, the Group registered top-line growth, with insurance revenue increasing to KShs 11.88 billion from KShs 10.95 billion. However, underwriting performance deteriorated during the year as claims rose across key classes including motor, medical, fire, and group life, compressing margins.
The insurance service result declined to KSh 478 million, down from KSh 1.06 billion in 2024, highlighting the pressure from higher claims costs. Reinsurance expenses also remained significant, with net expenses from reinsurance contracts held at KSh 1.25 billion.
Investment performance also softened. Net investment income declined to KSh 4.02 billion, compared with KSh 4.89 billion in 2024, reflecting lower fair value gains and reduced returns.
Total assets declined slightly to KSh 46.31 billion, compared with KSh 48.15 billion in 2024, largely reflecting adjustments in financial instruments and reinsurance assets. Total equity stood at KSh 10.08 billion, down from KSh 10.65 billion, while capital buffers remained comfortably above regulatory requirements.
Total comprehensive income also declined markedly to KSh 422 million, from KSh 1.28 billion in the prior year, reflecting lower profitability and foreign currency translation losses.
Despite the lower earnings, the board recommended maintaining a dividend of KSh 0.50 per share, unchanged from 2024, citing the Group’s strong capital position and stable balance sheet.
Basic earnings per share similarly fell to KSh 0.85, compared with KShs2.59 in 2024.
Key Figures
|
Metric |
FY2025 |
FY2024 |
YoY Change |
|
Insurance Revenue |
KShs 11.88 Bn |
KShs 10.95 Bn |
+8.5% |
|
Insurance Service Result |
KShs 478 Mn |
KShs 1.06 Bn |
-55.1% |
|
Net Investment Income |
KShs 4.02 Bn |
KShs 4.89 Bn |
-17.8% |
|
Profit Before Tax |
KShs 1.09 Bn |
KShs 2.09 Bn |
-47.8% |
|
Total Earnings |
KShs 487 Mn |
KShs 1.40 Bn |
-65.3% |
|
Total Comprehensive Income |
KShs 422 Mn |
KShs 1.28 Bn |
-67.0% |
|
Earnings Per Share |
KShs 0.85 |
KShs 2.59 |
-67.2% |
|
Total Assets |
KShs 46.31 Bn |
KShs 48.15 Bn |
-3.8% |
|
Total Equity |
KShs 10.08 Bn |
KShs 10.65 Bn |
-5.3% |
