NCBA, Diamond Trust and IM join big lenders in profit boom

Business
By Brian Ngugi | Nov 21, 2025
John Gachora (2nd right), NCBA Group Managing Director, with David Abwoga, Louisa Wandabwa and Raphael Ag’ung during the release of NCBA’s 2023 full-year results at the Radisson Hotel, Nairobi. [Wilberforce Okwiri, Standard]

Tier one lenders NCBA Group, I&M Group and Diamond Trust Bank (DTB) have reported higher profits for the period ended September 30.

They are joining a sector-wide earnings boom after larger rivals, including KCB Group, Equity Group, and Cooperative Bank, also posted jumps in net income.

The financial results for the nine months ended September 30, announced yesterday, highlight the resilience of the banking sector despite macroeconomic headwinds and a tough operating environment.

NCBA Group posted an 8.5 per cent rise in third-quarter profit after tax to Sh16.4 billion, driven by higher operating income and improved asset quality.

“Our profitability was driven by prudent cost of funding management and better asset quality,” Group Managing Director John Gachora said in a statement. 

The bank’s operating income rose 13.8 per cent to Sh53.4 billion, though it set aside Sh5.1 billion for credit losses, a 24.5 per cent increase, reflecting a more cautious outlook. 

A standout performer was its digital lending segment, where disbursements surged 35 per cent to Sh1 trillion.

On Thursday, I&M Group reported a nearly a third surge in third-quarter profit after tax to Sh11.8 billion, fueled by higher income. 

In Kenya, the lender said 81 per cent of all transactions were conducted outside branches, with 78 per cent of customers being digitally active.  The performance saw the lender announce an interim dividend of Sh1.50 per share  

“The directors are pleased to announce the payment of an interim dividend of Sh1.50 per share, amounting to Sh2.61 billion,” I&M Bank said in a statement.

“Our performance demonstrates the strength of our strategy, the confidence of our stakeholders, and the trust our customers continue to place in us,” added the Regional CEO and Interim Chief Executive of I&M Bank Kenya  Kihara Maina.

Meanwhile, Diamond Trust Bank Group said its profit after tax for the first nine months of this year rose to Sh7.47 billion from Sh6.50 billion in the previous period, supported by a 17.9 per cent growth in net interest income.

The results cement a trend set by Kenya’s largest banks earlier this reporting season.

KCB Group, the nation’s largest bank by assets, reported a 3.4 per cent rise in nine-month profit to Sh46 billion with its total assets crossing the Sh2 trillion mark.

Equity Group reported a 32.66 per cent surge in third-quarter profit to Sh52.1 billion, while Co-operative Bank posted a 12.3 per cent rise in earnings to Sh21.6 billion.

The performance of these major lenders offers a positive outlook for the local financial sector, with digital adoption and regional subsidiary growth emerging as key profit drivers.

bngugi@standardmedia.co.ke 

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