Africa-Press – Kenya. Cooperative Bank’s announcement of a Sh30 billion net profit for the financial year ended December 31, 2025, shortly rallied its share price at the Nairobi Securities Exchange to a high of Sh30.
According to results presented to investors on Thursday, the bank’s net profit for the year is 17 per cent higher compared to Sh25.46 billion posted in 2024.
The lender began the year with a share price of Sh23.95 and has since gained 25.1 per cent on that price valuation, ranking it 15th on the NSE in terms of year-to-date performance.
This means that shareholders’ paper wealth has grown by close to Sh36 billion in the past six weeks, pushing the total market capitalisation to Sh177 billion or five per cent of the total value of NSE.
It is currently the ninth most traded stock on the Nairobi bourse over the past three months.
On top of this, the bank’s board has proposed a final dividend of Sh1.50 per share, which brings the total dividend to Sh2.50 per share following an earlier interim dividend of Sh1.00 per share.
This is a significant 67 per cent rise from the Sh1.50 paid out in the previous financial year.
The proposed dividend for the year translates to a total dividend payout of Sh14.7 billion, compared to Sh8.8 billion paid in FY2024. Out of this, Sh9.7 billion will go to the 15-million-member co-operative movement.
The group, which houses Cooperative Bank units in Kenya and South Sudan, Kingdom Bank, Co-op Trust Investment Services Limited, Co-op Bancassurance Intermediary Limited, and Kingdom Securities, recorded a gross profit of Sh40.3 billion.
This is a 16 per cent growth compared to Sh34.8 billion recorded in the previous financial year.
“This is the best-ever performance by the Bank, which underscores the significant gains made under the 2025-2029 Good to Great Strategy and the ‘Soaring Eagle’ Transformation Agenda,’’ Cooperative Bank Group MD, Gideon Muriuki said.
Customer Deposits grew by 13.3 per cent to Sh576.5 billion, while loans and advances increased by 12 percent to Sh421 billion.
The Group’s borrowed funds increased by 11.35 per cent to Sh61.7 billion, reflecting continued partnership with external funders to diversify the funding base.
Shareholders’ funds increased by 13.8 per cent to Sh165.5 billion, supported by a strong Sh15.1 billion increase in retained earnings.
Net Interest Income increased by 22 per cent to Sh62.9 billion, supporting overall income growth.
Return on equity stood at 19.1 per cent, reflecting sustained value creation for shareholders.
The Group’s total assets increased by 11.3 per cent to Sh827.4 billion, from Sh743.3 billion in 2024, cementing its position as the third biggest bank in terms of asset value in East Africa.
Operating income increased by 13.9 per cent to Sh91.9 billion, driven by a 22 per cent growth in net interest income.
Expenses also increased by 11.4 per cent, with the cost-to-income ratio before provisions at 46.3 per cent, demonstrating a significant improvement from 59 per cent recorded in 2014 when the bank began the growth and efficiency journey.
The Group maintained a physical presence with a network of 222 branches, comprising 189 branches in Co-op Bank Kenya, six in Co-op Bank South Sudan, and 27 under Kingdom Bank, following the opening of 12 new branches during the year.
Although Coop Bank Kenya accounted for a huge chunk of the Group’s profits,
Kingdom Bank posted a profit before tax of Sh1.13 billion, from Sh1.07 billion in the previous year, representing growth of 5.3 per cent.
Kingdom Securities Limited delivered a gross profit of Sh129.7 million, compared to Sh74.2 million in 2024, representing growth of 74.8 per cent, driven by increased activity in the capital markets.
Co-op Bancassurance Intermediary recorded a profit of 1.5 billion, compared to Sh1.2 billion in the previous year, representing a growth of 23.7 per cent, supported by deeper insurance penetration across the customer base.
Furthermore, Co-op Bank of South Sudan recorded a profit before tax of 236.3 million, compared to Sh11.1 million in 2024, reflecting improved performance in the face of a complex operating environment.
The branch network is further complemented by 625 SACCO front offices, reinforcing the bank’s deep integration within the co-operative ecosystem.
