Equity Group profit surges 32% to KSh45.5bn in H1 2026

Equity Group Holdings Plc has reported a 32 per cent increase in profit after tax to KSh45.5 billion for the first half of 2026, up from KSh34.6 billion recorded in the corresponding period of 2025, supported by stronger regional contributions, balance-sheet growth and increased non-funded income.

The Group said the performance reflects continued progress in its transformation into a resilient, technology-enabled and diversified pan-African financial services institution.

Net interest income increased by 17 per cent to KSh69.3 billion, compared with KSh59.3 billion a year earlier, while total income rose 25 per cent to KSh124.9 billion from KSh100.2 billion.

The growth was driven significantly by non-funded income, which increased 36 per cent to KSh55.6 billion from KSh40.9 billion. Non-funded income consequently accounted for 44.5 per cent of total income, compared with 40.8 per cent in H1 2025.

Balance Sheet Expands

Equity Group’s balance sheet expanded by 20 per cent to KSh2.16 trillion, supported by a 21 per cent increase in customer deposits to KSh1.59 trillion and a 19 per cent rise in net loans to KSh981 billion.

Shareholders’ funds also increased by 27 per cent to KSh350 billion, strengthening the Group’s capital position.

The Group now serves 23.3 million customers through its digital platforms, including Equity Online, Eazzy FX, the Equity Mobile App, *247# and Equitel, alongside 410 branches, 886 ATMs, 92,572 agency outlets and 1.4 million merchants.

Group Managing Director and Chief Executive Officer, Dr James Mwangi, said the results were achieved against a backdrop of resilient economic growth across the markets where Equity operates.

“The Group’s performance is unfolding against a backdrop of resilient regional economic growth,” Mwangi said, pointing to projected growth rates of 4.5–5 per cent in Kenya, 5.6 per cent in the Democratic Republic of Congo, 5.9 per cent in Tanzania, 6.4 per cent in Uganda, 6.8 per cent in Rwanda and 20 per cent in South Sudan.

He said Equity’s performance was the result of a multi-year transformation programme centred on resilience, diversification and technology enablement.

“Our H1 2026 performance reflects the success of our deliberate transformation into a diversified, regional, technology-enabled financial services Group,” Mwangi added.

Digital Transformation Accelerates

Operational efficiency improved during the period, with the cost-to-income ratio declining to 48.6 per cent from 51.7 per cent. Return on assets stood at 4.5 per cent, while return on equity reached 26.5 per cent.

Digital adoption remained a major driver of the Group’s transformation, with 98.3 per cent of transactions conducted outside branches and 89.7 per cent processed through digital platforms.

Equity also continued investing in artificial intelligence and workforce development. The Group said 82 per cent of its staff had completed a business-focused generative AI course, while 55 per cent had completed two additional courses through the Huawei ICT Academy.

Staff collectively completed 119,980 hours of guided AI instruction, while 406 employees were admitted to Master’s programmes through WorldQuant University in Financial Engineering and Applied AI.

Asset Quality Improves

The Group also reported improvements in asset quality, with non-performing loans declining from 13.7 per cent to 9.5 per cent.

NPL coverage improved to 70 per cent from 68 per cent, while loan-loss provisions fell by six per cent year-on-year. Cost of risk also improved to 1.4 per cent from 1.7 per cent.

Regional Operations Drive Growth

Equity’s regional subsidiaries continued to strengthen their contribution, accounting for 42 per cent of Group banking profitability and 47 per cent of banking revenue.

The subsidiaries also contributed 51 per cent of Group deposits, 54 per cent of loans and 52 per cent of banking assets.

Equity BCDC in the Democratic Republic of Congo recorded a 30 per cent increase in profit after tax to KSh11.8 billion, while Equity Rwanda’s profit rose 12 per cent to KSh2.9 billion. Equity Tanzania posted the strongest growth, with profit after tax increasing 82 per cent to KSh2 billion.

In Kenya, Equity Bank Kenya recorded a 32 per cent increase in profit after tax to KSh25.7 billion, compared with KSh19.5 billion in H1 2025. Assets grew 13 per cent, deposits increased 24 per cent and loans rose eight per cent.

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The bank also maintained its position in the MSME segment, disbursing 36 per cent of the KSh101 billion in MSME loans issued in Kenya between January and March 2026.

Insurance and Non-Banking Businesses Expand

Equity Insurance Group also recorded strong growth, with gross written premiums increasing 24 per cent to KSh6.4 billion, while profit before tax rose 34 per cent to KSh1.25 billion.

The Group said 79 per cent of insurance policies were distributed digitally, reinforcing the growing role of technology in its insurance business.

Non-banking subsidiaries increased their contribution to Group revenue to 4.8 per cent from four per cent, while their contribution to profit before tax rose to 4.2 per cent from 3.8 per cent.

Equity Foundation Deepens Pan-African Impact

The Equity Group Foundation continued to expand its education, entrepreneurship, agriculture, healthcare, climate and technology initiatives across Africa.

The Foundation currently supports more than 11,663 active high-school scholars, while its Wings to Fly and Elimu Scholarship programmes have cumulatively supported 60,009 scholars.

Under enterprise development and financial inclusion, the Foundation has trained more than one million entrepreneurs and facilitated over KSh436 billion in credit access to MSMEs.

It has also planted more than 48.7 million trees and expanded clean energy, water and sanitation initiatives.

Meanwhile, Equity Afya has expanded to 156 medical centres, recording more than 5.3 million patient visits.

Equity Targets 100 Million Customers by 2030

Looking ahead, Equity Group said its growth ambitions remain anchored on its Africa Recovery and Resilience Plan (ARRP) 2030, which targets expansion into 15 countries and serving 100 million customers.

The Group said it would continue investing in digital and AI-enabled systems to scale transformation finance, strengthen resilience and support inclusive and sustainable economic growth across Africa.