Markets

Equity Group Q1 Profit Down 8% on Declined Interest Income

Equity Bank Tanzania delivered the highest growth, with pre-tax profit rising 540% to Ksh.0.6 billion, driven by a drop in NPLs to 3.0% and robust non-funded income.

4 weeks ago
177 1 minute read
Equity Group Pretax Profit Down 8% to Ksh.18.7 Billion
Equity Group Holding CEO Dr. James Mwangi

Equity Group has reported a pre-tax profit of Ksh.18.7 billion, an 8 percent drop, for the first quarter of 2025, down from Ksh.20.4 billion in the same period last year, primarily due to a drop in interest income.

The regional lender, which operates in Uganda, Tanzania, Rwanda, Burundi, South Sudan, and the Democratic Republic of Congo (DRC), saw its net interest income fall 12% to Ksh.13.32 billion.

Equity Bank Kenya remained the group’s top performer, contributing Ksh.8.5 billion in profit after tax (PAT), or about 57% of the group’s total profit.

Loans remained steady at Ksh.421.5 billion, while deposits grew to Ksh.792.7 billion. However, non-performing loans (NPLs) rose to 19.0%.

Equity Bank Tanzania delivered the highest growth, with pre-tax profit rising 540% to Ksh.0.6 billion, driven by a drop in NPLs to 3.0% and robust non-funded income.

Also Read: Equity Group Pretax Profit up Ksh.51 billion in 9 Months

The DRC operation posted a Ksh.4.7 billion pre-tax profit, maintaining resilience in local currency despite nominal declines.

Rwanda and Uganda contributed Ksh.1.1 billion and Ksh.1.2 billion, respectively.

“Equity is strongly positioned across all our subsidiaries. As we continue our transformation journey, we see significant opportunities for sustained growth,” said Dr. James Mwangi, CEO of Equity Group.

The group’s non-banking arm recorded Ksh.0.6 billion in PAT, accounting for 4.0% of overall earnings, up from 3.1% last year.

Insurance revenue more than doubled to Ksh.1.08 billion, led by Equity Life Assurance Kenya, which now commands a 16% market share in group credit life.

4 weeks ago
177 1 minute read
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Lawrence Baraza

Lawrence Baraza is a dynamic journalist currently overseeing content at Metropol TV Digital. With a keen focus on business news and analytics, Lawrence guides the platform in delivering insightful, data-driven content that empowers its audience to make informed decisions. Lawrence’s commitment to quality and his ability to anticipate market trends make him a key figure in the digital media landscape. His work continues to shape the way business news is consumed, making a significant impact in the field.

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