KCB Group shareholders approved the largest dividend payout in the bank’s history at the 2025 Annual General Meeting, following a year of record earnings and expanded regional contribution. The total dividend of KSh 7.00 per share represents a 133 percent increase from the prior year and amounts to a total payout of KSh 22.5 billion.
The payout combines an interim and special dividend of KSh 4.00 per share approved by the Board in November 2025 with a final dividend of KSh 3.00 per share approved at the AGM held on Thursday. The final dividend, net of withholding tax, paid on or about 22 May 2026 to shareholders on the register as of the close of business on 2 April 2026.
The approval comes after KCB Group posted a net profit of KSh 68.4 billion for the full year 2025, an 11 percent increase that marks the highest annual profit in the group’s history. Total assets expanded by 9 percent to reach KSh 2.1 trillion, supported by growth in lending across corporate, SME, and retail segments, as well as higher transaction volumes on digital channels.
Regional diversification continued to strengthen the group’s earnings base. Subsidiaries outside Kenya contributed 29.5 percent of overall net profit and accounted for 30.5 percent of total group assets. Operations in Uganda, Tanzania, Rwanda, Burundi, South Sudan, and the Democratic Republic of Congo provided both revenue growth and balance sheet scale, reducing reliance on the Kenyan market.
Group Chairman Dr. Joseph Kinyua told shareholders that the results affirm the bank’s financial resilience and the value of its regional strategy. He noted that while the operating environment remains challenging, opportunities are emerging through regional integration, intra-African trade, infrastructure development, digital innovation, and the expanding role of the private sector in driving economic transformation. Management said it remains cautiously optimistic about the outlook for 2026.
Group Chief Executive Paul Russo said the diversity of the business is a key source of stability. He pointed to sustained momentum across key business segments, improved operational efficiency, and deliberate support for businesses, SMEs, and households in all markets where the group operates. Investment in digital transformation and customer experience has also contributed to higher transaction activity and lower cost per transaction.
The positive momentum carried into the first quarter of 2026. KCB Group reported pre-tax profit of KSh 24.4 billion for the period, a 15.3 percent increase from KSh 21.2 billion in the first quarter of 2025. Total operating income grew 8.5 percent to KSh 53.6 billion, driven by growth in interest-bearing assets. The result was achieved despite sustained rate cuts by regional regulators, which compressed asset yields and weighed on net interest margin across the sector.
Asset quality improved notably. The gross non-performing loan ratio fell to 15.9% from 19.9% a year earlier, as gross loans grew 15% to KSh 1.37 trillion while gross NPLs declined 6.6% to KSh 217.8 billion. NPL coverage strengthened to 75.7% from 67.0%. The bank also cut its branch network from 536 to 458 locations, while deposits per branch rose 35.4% to KSh 3.6 billion, a sign that the rationalisation is working.
Total assets jumped 10.8% from Ksh 2,034.2 Billion in Q1 2025 to Ksh 2,254.5 Billion in Q1 2026. Analysts currently rate KCB Group a “Buy” with a target price of KSh 83.2, representing a 24.6% upside from the May 22, 2026 closing price of KSh 66.8.
Management stated that the focus for the remainder of 2026 will be on maintaining asset quality, deepening digital adoption, and extracting further efficiencies from regional integration. The group continues to prioritize capital allocation that supports growth while delivering consistent returns to shareholders.
