Co-op Bank Posts Strong Q1 2025 Results with Ksh9.63 Billion Profit Before Tax
Co-op Bank has kicked off the year with a bang, reporting a remarkable Ksh9.63 billion in profit before tax for the first quarter of 2025.
To put that in perspective, last year during the same period, the bank posted a profit before tax of Ksh9 billion in Q1 of 2024.
After tax, Co-op Bank announced a profit of Ksh6.9 billion for the first quarter of 2025, which spans January to March. This marks a Ksh300 million increase from the Ksh6.6 billion earned in the same timeframe last year.
The bank attributes this profit growth to an increase in its assets, loans and advances, as well as customer deposits during the quarter. For example, the bank’s assets grew by 8.3 percent, or Ksh59.4 million, reaching Ksh774.1 billion, up from Ksh714.7 billion in the same period last year.
In the past three months, loans have surged to Ksh384.5 billion, marking an increase of Ksh6.4 million compared to last year. Meanwhile, customer deposits have also seen a significant rise, reaching Ksh525.2 billion, which is a solid 9 percent increase.
“Shareholders’ funds have grown to Ksh155.9 billion, a 22.7% increase from Ksh127.1 Billion in Q1 2024, driven by the strong growth in retained earnings of Ksh16.7 billion,” Co-op Bank said in a statement on Thursday.
Loans issued over the past three months reached Ksh384.5 billion, which is an increase of Ksh6.4 million compared to last year. Meanwhile, customer deposits also saw a rise, totaling Ksh525.2 billion—a solid 9 percent increase. One key factor contributing to this revenue growth is the Mco-op Cash Mobile wallet, which disbursed Ksh19.1 billion during the same period, averaging about Ksh6.37 billion each month.
In terms of overall performance, Co-op Bank’s total operating income climbed by 12.8 percent, moving from Ksh18.8 billion to Ksh21.2 billion. This increase was primarily fueled by net interest income, which surged by 21.7 percent to reach Ksh14.2 billion, up from Ksh11.7 billion.
On the flip side, non-interest income experienced a slight decline of 1.9 percent, dropping from Ksh7.1 billion to Ksh6.9 billion. Additionally, operating expenses rose significantly by 19.1 percent, reaching Ksh11.7 billion.
“The strong performance by the Bank is in line with the Group’s strategic focus on sustainable growth, resilience, and agility, riding on the ‘Soaring Eagle’ Transformation Agenda,” the bank said.
The Co-op Bank has grown to employ 5,888 people, welcoming over 488 young individuals to its team, and has expanded its reach to a total of 212 branches, including 5 in South Sudan. This year, the latest branch opened in Kibwezi, bringing the total number of outlets to 15.
When it comes to subsidiaries, the Co-operative Bank of South Sudan stands out as a unique joint venture with the Government of South Sudan, where Co-op Bank holds 51 percent and GOSS has 49 percent. In the three months leading up to March, they reported a Profit Before Tax of Ksh80.7 million. However, this figure was adjusted to reflect changes in the purchasing power of the South Sudanese Pound, leading to a loss of Ksh47 million.
“Co-op Trust Investment Services Ltd contributed Ksh161.5 Million Profit Before Tax in Q1 2025 compared to Ksh75.5 Million in Q1 2024, a commendable 113.9 per cent growth. The Subsidiary has Funds Under Management currently at Ksh383.9 billion,” Co-op Bank noted.
Kingdom Bank Limited reported a Profit Before Tax of Ksh224.7 million, while Kingdom Securities Limited saw its profits grow to Ksh41.8 million. Co-op Bank is optimistic that this growth trend will carry on into the second and third quarters of the year, setting the stage for a strong overall performance in 2025.
Co-op Bank Posts Strong Q1 2025 Results with Ksh9.63 Billion Profit Before Tax
