Kingdom Bank posts Sh946.2m profit as NBK's returns grow 125 per cent

Kingdom Bank posts robust 59% profit growth to Sh946m in 2025. [File, Standard]

Kingdom Bank, a subsidiary of Co-operative Bank, recorded strong financial performance for the year ended December 2025, with profit after tax growing by 59 per cent to Sh946.2 million.

Total operating income for the bank rose by 35 per cent to Sh3.7 billion in the period from Sh2.75 billion in 2024, supported by both interest and non-interest income streams.

Net interest income increased by 28 per cent to Sh2.7 billion from Sh2.1 billion, while non-interest income grew by 55 per cent to hit Sh998.6 million from Sh645 million, reflecting improved diversified revenue.

Total operating expenses increased by 53 per cent to Sh2.58 billion in 2025 from Sh1.68 billion in 2024, primarily driven by investments in branch expansion and operational capacity.

The bank’s balance sheet expanded to Sh51.2 billion in total assets, up 24 per cent, as net loans and advances increased by 58 per cent to Sh22.19 billion from Sh14.01 billion in 2024.

Customers’ deposits also rose by 39 per cent to hit Sh29.7 billion from Sh21.46 billion recorded in 2024.

In the period, the bank further expanded its footprint by opening three new branches in Bungoma, Kariobangi and Tom Mboya.

In January this year, another physical location was opened in Embu.

Meanwhile, National Bank of Kenya (NBK), a wholly owned subsidiary of Access Bank, also reported a strong financial performance in 2025, posting a profit after tax of Sh2.4 billion, a growth of 125 per cent from Sh1.06 billion in 2024.

“The bank’s performance reflects disciplined execution of our turnaround priorities and a sustained focus on strengthening the balance sheet, improving asset quality and enhancing operational efficiency," said George Odhiambo, managing director of the National Bank of Kenya.

Odhiambo exuded confidence that the momentum will continue as the Bank scales up its business. "While we have made strong progress in stabilising the business, we are now focused on accelerating growth and unlocking the full potential of the bank in the years ahead,” said Odhiambo. 

The results mark the bank’s first full reporting period following the completion of the acquisition by Access Bank PLC in May 2025, a development that accelerated the Bank’s transformation agenda and reinforced its long-term growth prospects.

During the period, customer deposits increased to Sh106 billion, up from Sh98 billion in 2024.

In addition, total assets closed the year at Sh141.3 billion, compared to Sh148.3 billion in 2024, while the bank’s total equity rose to Sh17 billion against Sh13.4 billion in the previous year.

Meanwhile, net loans and advances stood at Sh51 billion, down from Sh75 billion, largely due to acquisition-related asset transfers and the Bank’s deliberate shift towards a more risk‑adjusted lending strategy.