Co-operative Bank Group has recorded 8.4% growth in net profit to KES 14.1 billion in the year ended June 30, 2025, mainly supported by a robust growth in interest and non-interest income. Net interest income grew by 23.1% to KES 29.4 billion, up from KES 23.4 billion in H1 2024. Non-interest income declined by 8.2% to KES 14.1 billion due to a significant decrease in fees and commissions on loans and advances, and foreign exchange trading income. Operating income totaled KES 43.5 billion, representing a 10.9% increase from KES 39.2 billion in H1 2024.
Operating expenses amounted to KES 24 billion, up 13% relative to H1 2024, largely driven by increased loan loss provisions and staff costs. Loan loss provisions went up by 50% to KES 4.5 billion, while staff costs rose 8.4% to KES 9.9 billion. The bank hired more employees as it opened 15 more branches in the country. Profit before tax reached KES 19.7 billion, up by 8.3% from 18.2 billion, while profit after tax rose 8.4% or 1.1 billion to KES 14.1 billion from KES 13 billion in the same period last year. In a decade, the group’s net profit has grown by 90.5% in H1.
Co-operative Group Balance sheet
Total assets expanded 13.3% to KES 811.9 billion Year-on-Year. Shareholders’ fund grew by 23.4% or 29.6 billion to KES 156.3 billion from KES 126.7 billion in H1 2024, mainly supported by growth in retained earnings and other reserves. Customer deposits rose by 8% to KES 547.7 billion, while net loans and advances went up 4.2% to KES 391.3 billion from KES 375.6 billion in H1 2024. Notably, the group’s total assets have more than doubled over the past decade.
Co-operative Bank Group’s Key Financial Ratios
The Group is in a strong liquidity position, with its liquidity ratio at 66.7%, significantly above the 20% minimum statutory ratio by the Central Bank of Kenya (CBK). Cost-to-Income Ratio (CIR) rose to 55.2% reflecting a faster increase in operating expenses compared to operating income. Loan-to-Deposit Ratio (LDR) stood at 71.4%, while the core capital ratio improved to 18.8%, significantly above the 10.5% benchmark. The lender registered a return on equity of 19.9%.
Co-op’s Subsidiaries Performance
Kingdom Bank, a subsidiary of Co-operative Bank Group, recorded a steep decline of 28.3% in profit after tax to KES 318 million. Net interest income improved to KES 1.2 billion, representing a 9.1% rise relative to H1 2024. Total assets rose 24.5% to KES 46.7 billion. Total equity increased nearly two-fold to KES 4.3 billion, from KES 2.2 billion in the same period last year. Customer deposits surged 56.3% reaching KES 27.2 billion Year-on-Year. The bank’s loan book expanded 59.6% to KES 17.4 billion from KES 10.9 billion, reflecting increased customer demand for credit in the first half of the year. Notably, the subsidiary’s liquidity ratio shrank 51% to 77.1% from 128.1%. The subsidiary also opened a new branch in Machakos.
Co-op Bancassurance posted KES 790.8 million in profit after tax, Kingdom securities recorded KES 63.2 million, while Co-operative Bank South Sudan posted KES 56.9 million. The CEO linked the results to the group’s agility and strong desire for growth.
“Co-operative Bank Group remains steadfast in advancing its strategic priorities, firmly grounded in resilience and growth across diverse economic sectors,” Said Co-operative Bank Group CEO, Gideon Muriuki.
Also Read: Co-op Bank of Kenya Posts Net Profit of Kes 11.6 Billion in Q3
