Britam's half-year profit dips to Sh2.5b despite revenue growth

Britam Holding's Board Chairman Kuria Muchiri,on August 29th 2025, Release 2025 half year Financial results at Britam towers located in Upper Hill, Nairobi.[Edward Kiplimo, Standard]. Listed diversified financial services group Britam Holdings has posted a profit before tax of Sh2.5 billion for the six months ended June 30, 2025, down from Sh2.8 billion in the same period last year. This is despite growth in insurance revenue and investment income. Insurance revenue rose 11 per cent to Sh19.7 billion from Sh17.8 billion, indicating a strong performance across both life and general insurance segments. Interest and dividend income grew 16 per cent to Sh10.6 billion, with total assets increasing eight per cent to Sh225 billion. "Our performance in the first half of 2025 demonstrates Britam's resilience and ability to deliver value even in a tough operating environment," noted Group Managing Director Tom Gitogo during an investor briefing in Nairobi yesterday. "Profit before tax declined mainly due to higher claims and the effects of the declining yield curve. Importantly, this reflects our commitment to customers paying claims promptly and supporting them when they need us most," he added. Gitogo observed that the Kenyan market remains the group's biggest contributor to revenue. "We expect continued growth in Kenya and are working to ensure other markets also contribute," he added, highlighting the impact of inflation and currency stability on financial services. Britam's balance sheet strengthened with shareholders' equity rising to Sh31.2 billion from Sh29.5 billion as of December 31, 2024. The Group did not recommend the payment of an interim dividend for the half-year period, choosing instead to retain capital to support growth opportunities and long-term shareholder value creation. The firm remains committed to its customer-centric strategy, which has focused on digital adoption, operational efficiency and growing the customer base. In line with this approach, Britam has introduced innovations including automated underwriting, digital onboarding and streamlined claims processing to improve service delivery. "Regional businesses continue to contribute positively to overall performance, and as interest rates stabilise and economic conditions improve, Britam is well-positioned to deliver stronger results in the second half of the year," explained Gitogo. On expansion, he said the Group is exploring new markets, including the Democratic Republic of Congo (DRC), but cautioned that entry would be careful and structured. "It is difficult to give a timeline, but we intend to close this up as soon as possible because opportunities in DRC's insurance space are enormous," he added. Group Chairman Kuria Muchiru said the board is preparing the next five-year strategy for the 2026-2030 period. "The themes emerging are uncontested markets and digital fast. We see large opportunities in markets with low insurance penetration and will focus on technology-driven solutions," he noted. Britam's sustainability and environmental, social and governance (ESG) initiatives remain central to its operations. The 2024 sustainability report showed the group's investments in local economies, diversity, renewable energy and financial inclusion, covering over four million people through Britam Connect. The group's general insurance unit has recently launched an electric vehicle (EV) insurance product to support Kenya's shift towards green mobility. Britam also continues to expand its retail presence across Africa with operations in Kenya, Uganda, Tanzania, Rwanda, South Sudan, Mozambique and Malawi.

Britam's half-year profit dips to Sh2.5b despite revenue growth

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Britam's half-year profit dips to Sh2.5b despite revenue growth

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