➢ Strongest quarterly performance in profit before tax of Kshs.22.9 billion in
history of the organization, exceeding the quarterly average for the last four years of Kshs.14.8 billion.
➢ Strong recovery of transforming subsidiaries, registering strong profit after tax
growth, Kenya 40%, Uganda 40%, Tanzania 75%, DRC 22%.
➢ Three insurance businesses – Life, General and health
➢ Regional banking businesses contribute 49% of banking deposits, 50% of loan
book and 50% of banking revenue.
➢ Balance sheet register 3% asset growth, 4% Net Loan growth, 2% deposits growth
and 25% shareholders’ funds growth.
➢ Earnings per share up 16% to Kshs. 8.8 from Kshs.7.6
Nairobi 11th August 2025……
Four years ago, Equity Group embarked on a journey of transformation.
The journey was not of incremental change or optimizing the business but one of self-disruption and
complete transformation. Nothing, including the core, the true north, corporate beliefs and philosophies,
and culture has been spared. The vision has remained socio-economic transformation but has now
significantly evolved. The purpose has pivoted from financial inclusion to giving dignity and changing lives
while expanding opportunities for wealth creation to one of championing, catalyzing and facilitating private
sector led development financing. Knowing Equity could not own the development of a continent, the
Group has collaboratively led to the development of the ‘Marshall like plan’ for the continent; The Africa
Recovery and Resilience Plan (ARRP) which has informed disruption and transformation of the Group to
strategically position it to provide African Leadership.
The Group has developed and mapped its 2030 strategic plan to anchor the ARRP with an ambition to
have presence in 15 countries and serving a hundred million customers by 2030. This ambition has
necessitated disruption and transformation of the core pillars, enablers and critical success factors.
Governance and leadership have been overhauled to provide adequacy of capacity, competence,
transparency and openness necessary for the ambition. Systems and infrastructure have been fully
replaced with scalable next generation, 4th industrial revolution technologies that are digital, machine
learning, Generative Artificial Intelligence (GAI) and data analytics ready and enabled. Applications that
can leverage the capabilities of the systems and infrastructure with inbuilt enhanced security and
innovations are being deployed. Go to market strategy has been developed for the roll-out to transform
the capabilities of a modern product house into customer value propositions and solutions for a segmented
market on the basis of industries, sectors, segments, demographics and customer specific status. The
Group’s organization culture is undergoing transformation to have built-in customer centricity and market
responsiveness on core values of integrity, professionalism, creativity, innovation and teamwork for a fit
for purpose human capital and to attract and retain talented, skilled and experienced staff.
Commenting on the Half Year 2025 performance, Equity Group Managing Director and CEO, Dr. James
Mwangi said, “The execution of the strategic business plan has started to reflect on the balance sheet and
performance of the Group in agriculture, mining, manufacturing, trade and investment, and small and
medium enterprises (SMEs) that populate the eco-systems of the formal sector in these value chains and
is likely to significantly and increasingly transform the structure and performance of the Group. Continued
execution has resulted in transformation of the balance sheet structure and the resultant profit and loss
structure creating resilience in performance.”
2
Group profit after tax grew by 17% to Kshs.34.6 billion up from 29.6 billion year on year driven by a 9%
growth in net interest income after an 18% decline in interest expense. Total costs declined by 2% driven
by a 34% reduction in loan loss provisions.
The Group has also bounced back to record a 4% growth in loan book to Kshs.825.1 billion despite the
challenging global, regional and local macroeconomic environment characterized by uncertainty,
depressed GDP, growth rates, high interest rates, volatile exchange rates and high inflation. Customer
deposits registered a 2% growth to Kshs.1.32 trillion and total assets grew by 3% to reach Kshs.1.8 trillion.
The loan deposit ratio remains favourable at 62.5% signifying headroom in lending which could be
supported by strong capital buffers of 16.5% and 18.1% for both core capital to risk weighted assets and
total capital to risk weighted assets respectively and a liquidity ratio of 58.6% confirming the opportunity
for asset reallocation from cash and cash equivalent assets to higher yielding loan assets.
The four-year Group business transformation journey has started to deliver consistent quarter-on-quarter
improvements. The Group has registered the strongest quarterly performance in Q2 2025 of Kshs.22.9
billion and Q1 2025 of Kshs. 18.6 billion both above the quarterly average for the last 4 years, of Kshs.14.8
billion despite the muted loan book growth, geopolitical uncertainty and impact of culture, governance,
systems, people, customer value proposition and transformation the Group is undertaking.
The recovery and build up resilience is evident in every business. Equity Bank Kenya has seen its net
interest margin rise to 7.5% from 6.5%, return on assets rise to 3.9% up from 2.8% and return on equity
jump to 28.1% from 25%. Equity Bank Tanzania has seen its net interest margin rise to 8.7% up from
8.1%, return on assets rise to 4% from 2.3% and return on Equity grow to 27% from 17.5% year on year.
Equity Bank Uganda has seen its return on assets jump to 3.4% from 2.2% and return on equity grow to
25.1% from 17.1%. Equity EBCD has seen its net interest margin rise to 7.1% from 6.9%, return on assets
grow to 3.1% from 2.6% and return on equity grow to 23.5% from 21.9% while Equity Bank Rwanda has
achieved the highest return on assets of 4.1% and a return on equity of 29.6% and a cost to income ratio
of 35.8%.
Recovery
In Kenya
Profit after tax increased by 40% from Kshs.13.9 billion to 19.5 billion, net interest income increased by
18% from Kshs. 27.7 billion to Kshs. 32.8 billion after 29% decline on interest expense to Kshs.18.3 billion
down from Kshs. 25.6 billion. Total equity grew by 22% to Kshs.154.6 billion from Kshs. 127.2 billion.
In DRC
Profit after tax increased by 22% to Kshs. 9.1 billion from kshs.7.4 billion. Loans and advances grew by
13% to Kshs.275.4 billion from Kshs. 244.2 billion funded by a corresponding decline in cash from Kshs.
271.4 billion down to Kshs.236.5 billion. Total equity grew 28% to Kshs.82.6 billion up from Kshs.64.8
billion
In Uganda
Profit after tax increased by 40% to Kshs.1.9 billion from Kshs.1.4 billion. Deposits grew by 5% to
Kshs.96.8 billion from Kshs. 91.9 billion fueling growth of cash and bank balances by 11% to Kshs.25.7
billion from Kshs.23.1 billion and growth of investment securities by 14% to Kshs.36.8 billion from Kshs.
32.3 billion. Capital grew by 9% to Kshs.16.8 billion up from Kshs. 15.4 billion.