BUSINESS

Higher Dividend For Co-op Bank Shareholders as Profit Surges

Share
co op bank profit coop bank shareholders
Co-op Bank has the unique advantages of being rooted in the largest co-operative movement in Africa.
Share

Co-operative Bank posted a strong Profit Before Tax of KSh 40.3 billion for the year ended 31st December 2025, compared to KSh 34.8 billion recorded in the previous year, an impressive 15.8 % growth.

Profit After Tax grew by 16.9% to KSh 29.75 billion from KSh 25.46 billion in 2024. This is the best-ever performance by Co-operative Bank, which underscores the significant gains made under the 2025-2029 Good to Great Strategy and the “Soaring Eagle” Transformation Agenda.

Meanwhile, Co-operative Bank has proposed a final dividend of KSh 1.50 per share, which brings the total dividend to KSh 2.50 per share following an earlier interim dividend of KSh 1.00 per share, a significant 67 per cent rise from the KSh 1.50 paid out in FY2024.

The proposed dividend for FY2025 translates to a total dividend payout of KSh 14.67 billion, compared to KSh 8.8 billion paid in FY2024, representing a significant increase of 67 per cent. The proposed final dividend is subject to approval by shareholders at the forthcoming Annual General Meeting.

The 15-million-member co-operative movement is expected to receive approximately KSh 9.47 billion of the total dividend payout. “Co-operative Bank Group remains steadfast in advancing its strategic priorities, firmly grounded in resilience and growth across diverse economic sectors,” said Dr. Gideon Muriuki, Group Managing Director & CEO.

He said Co-op Bank has the unique advantages of being rooted in the largest co-operative movement in Africa — boasting 15 million members — which underscores its unique synergies and deep community integration.

Highlights of FY 2025 Performance

  • Return on Equity stood at 19.1%, reflecting sustained value creation for shareholders.
  • Total Assets increased by 11.32% to KSh 827.4 billion, from KSh 743.3 billion in 2024.
  • Customer Deposits grew by 13.28% to KSh 576.5 billion, while loans and advances increased by 12.65% to KSh 421.0 billion.
  • Borrowed funds increased by 11.35% to KSh 61.7 billion, reflecting continued partnership with external funders to diversify the funding base.
  • Shareholders’ Funds increased by 13.82% to KSh 165.5 billion, supported by a strong Ksh. 15.1 billion increase in retained earnings.
  • Net Interest Income increased by 21.99% to KSh 62.85 billion, supporting overall income growth.
  • Operating income increased by 13.93% to KSh 91.89 billion, driven by a 21.99% growth in net interest income.
  • Operating expenses increased by 11.35%, with the cost-to-income ratio before provisions at 46.3%, demonstrating a significant improvement from 59% recorded in 2014 when the Bank began the Growth & Efficiency journey.

> Co-operative Bank in Ksh756 Million to Boost Green and Digital Businesses

Written by
BT Reporter -

editor [at] businesstoday.co.ke

Leave a comment

Leave a Reply

Your email address will not be published. Required fields are marked *

PAST ARTICLES AND INSIGHTS

Related Articles
Raimond Molenje, CEO, Kenya Bankers Association
BUSINESS

Bankers Push CBK to Hold Rates Steady Amid Rising Global Risks

Commercial banks are urging the Central Bank of Kenya (CBK) to hold...

Nairobi Business Ventures K Shoe brand www.businesstoday.co.ke
BUSINESSECONOMYNEWSSTOCKS

Nairobi Business Ventures Plc Issues Profit Drop Alert

Nairobi Business Ventures(NBV) Plc Board of Directors has issued a profit warning...

Treasury Cabinet Secretary John Mbadi
BUSINESS

Mbadi Announces Shift from Petrol to Electric Cars Amid Middle East War Crisis

Treasury Cabinet Secretary John Mbadi has announced a major shift in government...

Person holding Kenyan bank notes
ECONOMY

Poverty Persists Despite Growth as Inequality Gap Remains Wide

Kenya’s economic growth is no longer lifting people out of poverty as...