Co-operative Bank of Kenya has recorded an after-tax profit of Ksh14.1 billion for the first half of 2025, representing an 8.4 percent increase from Ksh13 billion posted during the same period last year.
Profit before tax rose by 8.3 percent to Ksh19.7 billion, up from Ksh18.2 billion in the first half of 2024.
The bank attributed the performance to strong growth in lending, increased customer deposits and sustained investment in digital channels.
Return on equity stood at 19.9 percent. Total assets expanded by 13.2 percent to Ksh811.9 billion, while customer deposits grew by 7.9 percent to Ksh547.7 billion. Net loans and advances to customers rose by 4.2 percent to Ksh391.3 billion.
Shareholders’ funds increased by 23.4 percent to Ksh156.3 billion, supported by retained earnings of Ksh18.4 billion. Operating income grew by 10.8 percent to Ksh43.5 billion, driven largely by a 23.1 percent increase in net interest income.
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Operating expenses rose by 13 percent, although the cost-to-income ratio improved to 44.9 percent compared to 59 percent in 2014.
Over 90 percent of customer transactions are now processed through digital and alternative channels, including mobile, web, and USSD platforms. The M-Co-op Cash mobile wallet disbursed Ksh36.4 billion in loans during the period, with Ksh5.7 billion going to micro, small and medium-sized enterprises (MSMEs).
The MSME loan portfolio now accounts for 17.3 percent of the total loan book, serving 249,319 clients, of whom 68,800 have received business training.
The bank expanded its branch network by 15 to reach 212 outlets and increased its workforce by 450 to 5,850 employees.
Subsidiary businesses also posted strong results, with Co-op Trust Investment Services reporting a profit before tax of Ksh360.8 million, Co-op Bancassurance Intermediary posting Ksh790.8 million, Kingdom Bank earning Ksh491.1 million, Kingdom Securities recording Ksh63.2 million, and Co-op Bank of South Sudan posting Ksh56.9 million after accounting for hyperinflation.
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Group Chief Executive Dr. Gideon Muriuki said the results reflect the strength of the bank’s universal banking model, which integrates an extensive physical network, a growing digital presence, and a deep connection to the cooperative movement that serves over 15 million members in Kenya.
“Co-operative Bank Group remains steadfast in advancing its strategic priorities, firmly grounded in resilience and growth across diverse economic sectors,” Muriuki said.
By Benedict Aoya
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