NAIROBI, Kenya, May 19 – Equity Group Holdings has reported a 24 per cent year-on-year rise in Profit After Tax to Sh19.1 billion for the first quarter ended March 2026, up from Sh15.4 billion in the same period last year, supported by stronger regional earnings, loan growth and improved efficiency.
The lender’s performance was anchored on expanding contributions from its regional subsidiaries and non-banking businesses, even as its core lending and deposit base continued to grow steadily across key markets.
Regional operations remained a key growth driver, with Equity Bank Tanzania posting a 150 per cent increase in profit after tax, followed by Equity Bank Rwanda at 36 per cent and Equity Bank DRC at 32 per cent, underscoring the group’s growing reliance on its pan-African footprint.
Equity Group’s net loan book expanded 9 per cent year-on-year, driven mainly by the retail, MSME and public sector segments, with Rwanda, Tanzania and the DRC recording the strongest uptake.
Customer deposits rose 13 per cent to KSh1.48 trillion, up from KSh1.31 trillion, while the balance sheet grew 16 per cent to Sh2.04 trillion from Sh1.75 trillion, reflecting sustained liquidity inflows and broader customer activity across its markets.
The group said growth was supported by a 22.7 million-strong customer base, with transactions increasingly shifting to digital channels and agent networks, which now form the backbone of its distribution system.
Operational efficiency improved over the period, with the cost-to-income ratio declining to 50.6 per cent from 54.2 per cent, reflecting higher productivity and continued migration of transactions to digital platforms.
Asset quality indicators also improved, with non-performing loans declining year-on-year from 14 per cent to 10 per cent, while NPL coverage improved to 72 per cent from 67 per cent. Loan loss provisions fell 18 per cent, reflecting what the lender described as improved loan book quality and tighter risk controls.
Insurance operations continued to scale, with Equity Insurance Group reporting a 30 per cent increase in gross written premiums to Sh4.5 billion, while profit before tax rose 53 per cent to Sh0.64 billion, positioning the unit as a growing contributor to non-banking income.
Equity Bank Kenya posted a 21 per cent rise in profit after tax to Sh10.3 billion, supported by continued dominance in MSME lending and steady retail banking performance.
Across the group, subsidiaries now account for about half of banking profitability and more than half of total banking assets, highlighting the increasing weight of regional markets in the group’s earnings structure.
“Our Q1 performance reflects the success of our deliberate transformation into a diversified, regional, technologyled financial services Group. We are building a futureready institution; scalable, secure, and impactled, anchored in digital capabilities, staff upskilling, and a culture of disciplined execution,”said uts CEO James Mwangi.
“As we progress toward our 2030 ambitions, we are evolving beyond traditional banking into a Transformation Finance Institution that mobilizes capital, connects ecosystems, and accelerates inclusive, sustainable prosperity across Africa.”
Digital adoption continued to deepen, with 98.3 per cent of transactions conducted outside branches and 89.5 per cent processed through digital platforms, reflecting a continued shift away from physical banking channels.
The group also highlighted ongoing investments in technology and staff training, including large-scale artificial intelligence and digital skills programmes aimed at supporting automation and service delivery.
