Equity Group Holdings Plc has reported its financial performance for the first quarter of 2025, reflecting resilience despite increased operating expenses. The Group posted a profit after tax of Ksh. 15.4 billion, marking a 4% decline compared to Q1 2024, primarily due to rising staff costs and other operational expenditures.
Key Financial Metrics:
- Staff costs increased by 11%, reaching KES. 8.7 billion, while other operating expenses rose by 11% to KES. 17.4 billion.
- Net interest income improved by 3% from KES. 27.8 billion to KES. 28.6 billion, driven by strong lending activity.
- Total expenses saw a 1% decline, amounting to KES 29.5 billion, indicating cost management efforts.
- Customer deposits expanded by 7% year-on-year, reaching KES. 1.32 trillion, compared to KES. 1.24 trillion in Q1 2024.
Equity Group CEO’s Highlights:
Equity Group Holdings Plc Managing Director and CEO, Dr. James Mwangi, emphasized the Group’s ability to navigate the challenging global economic landscape while maintaining financial flexibility. He highlighted the strength of regional and non-banking subsidiaries in driving sustainable growth.
“We are proud of the resilience demonstrated by the Group amidst a challenging global economic landscape, where our financial strength provides the flexibility to seize opportunities as the regional economy presents diversified levers for growth,” said Dr. Mwangi.
The Group’s liquidity and total capital positions stood at 58.5% and 18.3%, respectively, reinforcing its strong financial foundation.
Expansion in Insurance Business:
Equity Group’s insurance arm continues to gain traction, reporting a 27% increase in profit before tax to Ksh. 414 million, compared to Ksh. 321 million in Q1 2024.
Since its inception in March 2022, the insurance subsidiary has issued 15.3 million policies, with 80% of them distributed through digital channels, enhancing financial protection and strengthening customer relationships.
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