Equity Group Holdings has posted a profit after tax of Sh15.4 billion in the first quarter of 2025, driven by strong cost management and growing regional operations. The group’s financial strength and diversified business strategy continue to boost its performance despite a tough economic environment.
The Group’s Managing Director and CEO, Dr. James Mwangi, attributed the performance to prudent management and regional growth.
“We are proud of the resilience demonstrated by the Group amidst a challenging global economic landscape. Our strong financial base allows us to seize opportunities and deliver sustainable growth for our customers and shareholders,” said Dr. Mwangi during the release of the Q1 results.
Equity Group saw customer deposits rise by 7% to Sh1.32 trillion, up from Sh1.24 trillion.
The bank also increased its loan book by 3%, reaching Sh804.7 billion from Sh779.2 billion. The Group’s total assets grew 4% year-on-year to Sh1.75 trillion.
Excluding non-operational inflation adjustments in South Sudan, the Group’s profit before tax rose by 8% to Sh18.8 billion, compared to Sh17.3 billion in the same period last year.
The Group posted a return on equity (ROE) of 23.9% and return on assets (ROA) of 3.5%.
Equity Bank Kenya, the Group’s largest subsidiary, recorded a 7% growth in deposits to Sh792.7 billion and a 19% increase in revenue.
Non-funded income rose by 23% to Sh7.57 billion, contributing to a 50% increase in profit before tax. Kenya’s ROA and ROE improved to 3.4% and 26% respectively.
Other regional subsidiaries also posted impressive growth. Equity Bank Tanzania saw a 14% increase in deposits and a 9% rise in loans, pushing profit before tax up by 540%.
In the Democratic Republic of Congo, EquityBCDC recorded 9% growth in loans to Sh252.1 billion and 8% growth in deposits to Sh468.4 billion.
Regional operations contributed 47% of total assets, 48% of net loans, and 45% of profit before tax, strengthening Equity’s presence in East and Central Africa.
Equity’s non-banking subsidiaries, including fintech, insurance, and investment banking, posted strong performance.
The insurance arm reported a 27% rise in profit before tax to Sh414 million and has issued over 15.3 million policies since March 2022, 80% of which were sold digitally.
The investment banking unit posted a 142% increase in profits, while the technology arm’s profits grew by 10%. Net interest income rose 3% to Sh28.6 billion, while total expenses dropped by 1% to Sh29.5 billion.
The Group’s non-performing loan (NPL) ratio remained below the industry average at 14%, compared to the sector’s 17.2%. NPL coverage stood at 67%, reflecting strong asset quality.
Equity’s digital banking platforms now handle 87% of all transactions.
Equity Mobile App and USSD processed Sh942.7 billion in transactions, up from Sh720.2 billion in the same period last year. Equitel processed 92 million transactions, up from 65.2 million.
The Group’s foreign exchange platform, EazzyFX, handled Sh29.5 billion in transactions, while Pay With Equity (PWE) processed Sh567.6 billion across over 1.1 million merchants.
The ONE Equity platform continues to integrate services across digital channels, improving customer access and service delivery.
Equity continues to support its Africa Recovery and Resilience Plan (ARRP), focusing on economic empowerment, climate resilience, and inclusive development.
The Group has partnered with the African Development Bank, Microsoft, and Mastercard to digitize 10 million farmers, and with the World Food Programme to help smallholder farmers grow their agribusinesses.
Through a partnership with the African Guarantee Fund, Equity has secured Sh27 billion in guarantees to increase credit access for women- and youth-led enterprises.
The bank has planted over 35 million trees and distributed nearly 500,000 clean energy products.
Under the Equity Leaders Program, the Group has supported over 29,000 scholars and continues to offer internships and vocational training to young people.
Equity Afia clinics have recorded 3.66 million patient visits across 134 facilities.
Equity was recently named a Superbrand in East Africa for the fourth time and was a big winner at the 20th Think Business Banking Awards, taking home 16 trophies including CEO of the Year and top honors in categories such as SME Banking, Financial Literacy, Agriculture Financing, and CSR.
“Our focus on financial inclusion, regional expansion, and sustainable growth will enable us to continue being a catalyst for economic empowerment across Africa,” Mwangi said.