SBM Bank signals turnaround with profit jump

Business
By Esther Dianah | May 05, 2026

Bhartesh Shah, Chief Executive Officer of SBM Bank Kenya, during the My Chat with a Bank CEO forum. [Patrick Vidija, Standard]

SBM Bank Kenya has posted a major profit before tax of Sh246 million for the first quarter of 2026, a sharp rise from Sh12 million that was reported in the same period in 2025, reflecting sustained momentum in the Bank’s turnaround strategy.

The Bank’s total assets increased to Sh109.5 billion, up from Sh102.9 billion, while customer deposits grew by 23 per cent year-on-year to hit Sh89 billion, driven by an expanding customer base and deeper engagement across segments.

Also, growth was supported by a balanced asset mix, with net loans and advances reaching Sh48.5 billion and government securities at Sh44 billion. Net interest income stood at Sh1.1 billion, supported by disciplined funding cost management, with interest expenses down by 15 per cent year-on-year.

Non-interest income rose by 55 per cent to Sh673 million, driven by higher transaction volumes across digital and payments channels. Asset quality improved significantly, with gross non-performing loans declining 41 per cent to Sh10 billion and the NPL ratio improving from 33.8 per cent to 19.8 per cent.

SBM Bank Kenya Chief Executive Officer Bhartesh Shah said the results were not accidental as the lender has been executing a transformational agenda which is focused on balance sheet optimisation, customer growth, and transaction-led banking supported by targeted investment in technology, digital journeys and payments capabilities.

“We have reset how the Bank is run through tighter execution, clearer accountability and a relentless focus on customer activity. Q1 shows the payoff: Stronger earnings quality, stronger deposits and a cleaner book,” Shah said.

“The transformation is now shifting from stabilisation to scale. Our growth is anchored on repeatable drivers such as transactions, deposits, and disciplined risk, while keeping the customer firmly at the centre. By investing in the everyday journeys and innovations our customers rely on, we are building performance that is both resilient and sustainable.”

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