BUSINESS

Regional Subsidiaries Lift Equity Group Half Year Profit

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Equity Group Profit 2026
EquityBCDC Managing Director Willy Mulamba, Equity Group MD and CEO, Dr. James Mwangi, Equity Bank Kenya MD, Moses Nyabanda, and Equity Bank Rwanda MD, Hannington Namara, during the investor briefing.
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Equity Group Holdings Plc has announced a solid first‑half performance for 2026. Profit After Tax rose by 32% to Ksh45.5 billion from Ksh34.6 billion in the same period, lifted by contributions from regional subsidiaries and increased non-funded income.

Net interest income continued to strengthen, rising 17% to Ksh69.3 billion from Ksh59.3 billion, reflecting the depth ofEquity Group’s lending franchise and disciplined balance sheet management. Total income grew 25% to KSh124.9 billion, up from KSh100.2 billion, driven by a sharp rise in non‑funded income, which expanded 36% to KSh55.6 billion from KSh40.9 billion.

Non‑funded income now contributes 44.5% of the Group’s total income, up from 40.8% in H1 2025, underscoring Equity’s multi‑line business, geographic diversification and revenue quality mix

The balance sheet expanded 20% to KSh2.16 trillion. This growth was anchored by a 21% rise in customer deposits to KSh1.59 trillion and a 19% increase in net loans to KSh981 billion, demonstrating sustained customer confidence and strong credit demand across the markets where Equity operates. Shareholders’ funds grew 27% to KSh350 billion, reinforcing the Group’s capital strength.

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Dr James Mwangi, Group Managing Director and CEO said Equity Group’s performance is unfolding against a backdrop of resilient regional economic growth. Kenya is projected to expand by 4.5%-5%, the Democratic Republic of Congo by 5.6%, Tanzania by 5.9%, Uganda by 6.4%, Rwanda by 6.8%, and South Sudan by 20%.

“These growth rates are supported by firm commodity prices and policy reforms and are expected to sustain, making the region where we operate one of the fastest growing regions in the world,” Dr Mwangi said. “Equity’s half-year 2026 performance is the outcome of a multiyear transformation agenda focused on resilience, diversification, and technology enablement. The Group has repositioned its operating model, strengthened its regional presence, and invested heavily in digital and AI‑enabled capabilities to build an institution equipped for the future.”

Equity Bank Kenya’s recovery momentum continued posting a 32% increase in Profit After Tax to KSh25.7 billion (H1 2025: KSh19.5 billion) demonstrating strong leadership in the Kenya market with a 13% growth in assets underpinned by a 24% deposits growth and 8% loans growth. The bank recorded a return on average assets and a return on average equity of 4.8% and 34.7% respectively, all while maintaining its MSME leadership by disbursing 36% of the KSh101 billion MSME loans issued in Kenya between January and March 2026.

Regional subsidiaries delivered strong and accelerating performance, now contributing 42% and 47% of the Group’s banking profitability and revenue respectively, 51% of Group deposits, 54% of Group loans and 52% of Group banking assets, a testament to the success of the Group’s pan‑African expansion strategy. Equity BCDC in the Democratic Republic of Congo achieved a 30% rise in Profit After Tax to KSh11.8 billion. Equity Rwanda grew Profit After Tax by 12% to KSh2.9 billion, and Equity Tanzania delivered exceptional performance with 82% growth to KSh2.0 billion.

Equity Insurance Group maintained its strong trajectory, with gross written premiums rising 24% to KSh6.4 billion and profit before tax increasing 34% to KSh1.25 billion. The life and general insurance businesses wrote KSh4.5 billion and KSh0.6 billion while the health insurance business wrote KSh1.2 billion in Gross Written Premiums.

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Written by
BILL YAURA

Bill Yaura is a Correspondent for Business Today. He can be reached on email: [email protected]

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