NCBA Disburses Over KES 1 Trillion in Digital Loans, Posts KES 21.9 Billion in Profits

NCBA Group PLC has posted a profit after tax of KES 21.9 billion in its FY 2024 financial results which is a 2.0 per cent increase compared to KES 21.5 billion reported during a similar period in 2023. 

The Group`s role in driving financial inclusion through partnerships for over 60 million customers across Africa has seen NCBA cross the KES 1 trillion mark on digital loan disbursements. Non-performing loan (NPL) ratio stands at 11.2 per cent reflecting disciplined credit underwriting, proactive portfolio monitoring, and strong customer engagement strategies. Impairment coverage stands at 60 per cent, and the Group remains well-capitalized with sufficient provisions. 

NCBA disbursed KES 1.0 trillion in digital loans, 23 per cent increase year on year and saw a profit after tax of KES 21.9 billion, 2.0 per cent up year on year. The Group’s profit before tax stood at KES 25.1 billion, 1.0 per cent down year on year. The firm saw an operating income of KES 62.7 billion, 1.5 per cent down year on year.

Operating expenses of KES 32.2 billion,10.6 per cent up year on year and its provision for credit losses stood at KES 5.5 billion, 40 per cent down year on year. Customer deposits were KES 502 billion, 13.4 per cent down year on year and its assets reached KES 666 billion, 9.3 per cent down year on year while its final dividend KES 3.25 per share (KES 5.50 Total for 2024).

“We are pleased to announce our Full Year 2024 financial results which reflect the resilience of our diversified business model. The underlying trends of our P&L remained solid while our cost increase of 10 per cent was driven by targeted investments in digital transformation, network expansion and operational efficiency which have positioned us for long-term growth. Amidst ongoing external headwinds, NCBA’s strategic imperatives have enabled us to deliver shareholder value,” remarked Mr. John Gachora, NCBA Group Managing Director. 

The Group`s regional subsidiaries in Uganda, Tanzania, and Rwanda delivered a combined profitability of KES 3.2 billion, 7 per cent up year on year; while the combined non-banking subsidiaries including the Investment Bank, Bancassurance, Leasing and Insurance recorded a 36 per cent year on year significant growth contributing KES 1.2 billion to Group profitability. 

The Group through its smart network roll out enabled customer access to superior services reaching 119 branches across the region with 10 new locations in Kenya, Rwanda and Uganda. Additionally, through the Kenya business agency banking partnership with Postbank, 476 agents and 96 branches country-wide were onboarded while the diaspora banking team scaled the Global customer footprint in Australia, Middles East and USA.

NCBA retained its Asset Finance Leadership with a market share of 35 per cent driven by product innovation and scheme agreements with several vehicle dealers including Isuzu, CFAO, Simba and Inchape. The Group`s Corporate Banking position with a deposit base of KES 210 billion is expected to strengthen with a revamped internet banking platform.

NCBA`s insurance subsidiary (formerly AIG Kenya) rebrand last week signifies successful integration into the NCBA Group PLC family. The new brand will leverage on the strengths of NCBA and become more competitive with amplified positioning in the market.

Looking ahead, Gachora remarked, “We continue to tighten credit risk management, enhance recovery efforts, and refine our lending strategies to maintain a healthy loan book. We remain focused on driving efficiency, deepening customer relationships, and leveraging digital channels for sustainable growth.”