Equity Group Posts 32% Profit Growth to Ksh45.5 Billion in H1 2026

Equity Group Holdings Plc announced a 32 percent increase in profit after tax for the first half of 2026, reaching Ksh45.5 billion compared to Ksh34.6 billion in the same period last year. This growth reflects the Group’s expanding regional footprint, enhanced balance sheet quality, and rising non-funded income.

Financial Highlights

• Net interest income grew 17 percent to Ksh69.3 billion.
• Total income increased 25 percent to Ksh124.9 billion, supported by a 36 percent rise in non-funded income to Ksh55.6 billion.
• Customer deposits climbed 21 percent to Ksh1.59 trillion.
• Net loans expanded 19 percent to Ksh981 billion.
• Shareholders’ funds rose 27 percent to Ksh350 billion.

Operational Efficiency and Digital Transformation

The Group improved operational efficiency, lowering its cost-to-income ratio to 48.6 percent from 51.7 percent, driven by productivity gains and increased digital transactions. Digital platforms now handle 89.7 percent of all transactions, with 98.3 percent conducted outside branches, underscoring strong customer adoption.

Equity serves 23.3 million customers via digital channels such as Equity Online, Eazzy FX, and the Equity Mobile App, supported by a physical network of 410 branches, 886 ATMs, and over 92,000 agency outlets.

Regional and Sectoral Growth

Equity’s regional subsidiaries contributed significantly, accounting for 42 percent of banking profits and 51 percent of deposits. Key performers included Equity BCDC in the Democratic Republic of Congo, with a 30 percent profit increase to Ksh11.8 billion, and Equity Tanzania, which posted an 82 percent jump to Ksh2 billion.

The insurance arm also expanded, with gross written premiums rising 24 percent to Ksh6.4 billion and profit before tax up 34 percent to Ksh1.25 billion. Digital channels accounted for 79 percent of insurance policies issued.

Risk Management and Asset Quality

Asset quality improved, with non-performing loan ratio dropping from 13.7 percent to 9.5 percent. Coverage of non-performing loans increased to 70 percent, while loan loss provisions decreased by 6 percent year-on-year.

Social Impact and Staff Development

The Equity Group Foundation continues to drive education and economic empowerment initiatives across Africa, supporting over 11,600 active scholars and facilitating credit access exceeding Ksh436 billion to MSMEs. Staff training in AI and digital skills remains a priority, with thousands completing courses and advanced degree programmes.

Outlook

Group CEO Dr James Mwangi highlighted the Group’s transformation into a technology-driven, pan-African financial services institution. With a strong capital base and improved returns, Equity is positioned to expand to 15 countries and serve 100 million customers by 2030 under its Africa Recovery and Resilience Plan.