Equity Group has announced strong financial results for the first quarter of 2025, driven by its regional expansion, diversified business approach, and resilience in a fluctuating global economy.
The Nairobi-based financial services provider reported a 7% year-on-year increase in customer deposits, reaching Shs 37.2 trillion ($9.7 billion), while net loans grew by 3% to Shs 22.7 trillion. Total assets rose 4% to Shs 49.2 trillion, reinforcing the Group’s position as a leading financial institution in East and Central Africa, ranking second in Kenya, Rwanda, and the Democratic Republic of Congo.
Profit after tax amounted to Shs 433.2 billion, supported by a return on equity of 23.9% and a return on assets of 3.5%. Adjusting for South Sudan’s hyperinflation accounting, profit before tax saw an 8% increase to Shs 528.8 billion.
CEO James Mwangi emphasized that the results showcase Equity’s ability to “navigate a dynamic macroeconomic landscape,” balancing commercial growth with social and sustainability goals. “Our regional presence and non-banking divisions remain strong drivers of growth,” he noted.
Kenya remains the Group’s largest market, contributing 51% of total revenue. The Kenyan subsidiary posted a 7% rise in deposits to Shs 22.3 trillion and a 50% surge in profit before tax, as total revenue climbed 19% and non-funded income grew 23% to UGX 213 billion. Return on assets improved to 3.4%, while return on equity reached 26.0%.
Beyond Kenya, regional subsidiaries performed well, accounting for 47% of total assets, 48% of net loans, and 45% of profit before tax. In DRC, EquityBCDC expanded customer loans and deposits by 9% and 8% respectively, focusing on key sectors such as agriculture, manufacturing, and small businesses. Tanzania’s unit experienced a remarkable 540% increase in profit before tax, with deposits and loans growing by 14% and 9% respectively, while Rwanda and Uganda contributed to the Group’s overall progress.
Net interest income grew 3% to Shs 804.2 billion, while total expenses declined 1% to Shs 830.8 billion. The non-performing loan (NPL) ratio stood at 14%, below the industry average of 17.2%, with coverage at 67%.
Expansion beyond banking
Equity’s non-banking segments, including fintech, insurance, and investment banking, continue to bolster its overall value proposition. The insurance division posted a 27% rise in profit before tax to Shs 11.7 billion, with 80% of policies issued digitally. The Group is pursuing regulatory approval for a health insurance license to complement its existing offerings.
The investment banking arm saw profitability soar by 142%, while the technology division recorded a 10% increase, reinforcing Equity’s diversification strategy.
Digital transactions remain robust, with digital platforms handling 87% of all transactions. The Equity Mobile App and USSD platform recorded Shs 26.5 trillion in transaction value, up from Shs 20.3 trillion a year earlier.
Equitel’s mobile platform processed 92 million transactions, compared to 65.2 million previously, while the Group’s FX trading platform, EazzyFX, reported Shs 830.3 billion in transaction volume. Merchant payments through Pay With Equity totaled Shs 15.9 trillion, serving over 1.1 million merchants.
The ONE Equity platform has further integrated banking services across digital channels, enhancing customer engagement and cross-selling opportunities.
Commitment to Africa’s economic transformation
Equity’s financial success aligns with its Africa Recovery and Resilience Plan (ARRP), an initiative designed to drive inclusive growth across the continent. Partnerships with institutions such as the African Development Bank, Microsoft, and Mastercard have led to digital solutions like the Community Pass platform, helping 10 million farmers. Collaborations with the World Food Programme and the African Guarantee Fund have improved financing access for smallholder farmers and MSMEs, especially those led by women and youth.
The Group has supported expanded lending in critical sectors with Shs 759.5 billion in guarantees, while Shs 9.9 trillion has been disbursed to 350,149 MSMEs under the Young Africa Works program. Additionally, more than 650,000 entrepreneurs have received training.
Equity prioritizes social impact, with nearly 30,000 scholars benefiting from the Equity Leaders Program, including 113 currently studying at top universities worldwide. Technical and vocational training has reached nearly 4,000 individuals, while 9,700 paid internships have been provided.
Climate finance is growing, with Equity planting over 35 million trees and distributing nearly 500,000 clean energy products. Climate-related lending stands at Shs 759.5 billion, and the Group has been recognized by the International Finance Corporation for its leadership in climate finance transactions.
Equity Afia, the Group’s healthcare network, has recorded 3.66 million patient visits across 134 clinics, improving access to affordable healthcare.
The Group’s achievements have earned multiple awards, including the “Superbrand” designation in East Africa and 16 honors at the 20th Think Business Banking Awards, including CEO of the Year and recognition in categories such as SME Banking, Financial Literacy, and Agriculture Financing.
Mwangi summed up Equity’s vision: “Our strategy is centered on financial inclusion, regional expansion, and long-term sustainability. We remain committed to driving Africa’s economic transformation, one household and one enterprise at a time.”
