SBM Bank Kenya swings to Sh12.4m quarter 1 net profit

SBM Bank Kenya Ltd posted an after-tax profit of Sh12.4 million in the first quarter of 2025, reversing a Sh370 million loss recorded during the same period last year, the lender announced on Tuesday.

This performance marks a turnaround and represents early progress for a turnaround strategy implemented under Chief Executive Bhartesh Shah, who assumed leadership in May 2024.

The Kenyan subsidiary of Mauritius-based SBM Group Holdings saw its total operating income rise to Sh1.3 billion in Q1 2025, up from Sh1.0 billion in Q1 2024. The bank reduced its total operating expenses by 5 per cent year-on-year, to Sh1.31 billion from Sh1.38 billion.

The lender attributed this improved performance to a strategic pivot focusing on the mass affluent and local business segments, supported by intensified efforts to strengthen customer relationships, enhance productivity, and improve operational efficiency.

“This performance underscores the impact of focused execution. Our turnaround signals a new phase for SBM Bank— one of ambition, customer-centric innovation, and operational excellence,” said Mr Shah in a statement. 

The lender reported a 13.6 per cent growth in its total assets, reaching Sh102.9 billion in the first quarter of 2025, compared to Sh90.6 billion in a similar period last year. It saw customer deposits experience growth of nearly a third, climbing to Sh72.2 billion from Sh56.5 billion year-on-year, a development the bank linked to its strengthened customer focus.