Equity Group Holdings has posted a 32 per cent increase in profit after tax to KSh45.5 billion for the six months ended June 2026, up from KSh34.6 billion recorded in the same period last year.
The banking group said the performance was driven by balance sheet growth, stronger contributions from regional subsidiaries, and increased income from non-funded businesses.
Profit before tax rose by 39 per cent to KSh57.8 billion from KSh41.5 billion, according to the half-year results released on Wednesday, August 19.
“Profit After Tax rose by 32% to KSh45.5 billion from KSh34.6 billion for the same period, a reflection of improved balance sheet quality and growth, rising contributions from its regional subsidiaries and increased non-funded income contribution,” Equity Group said.
The group’s balance sheet expanded by 20 per cent to KSh2.16 trillion, compared with KSh1.80 trillion in the first half of 2025.
Customer deposits increased by 21 per cent to KSh1.59 trillion, while the loan book grew by 19 per cent to KSh981 billion from KSh825 billion.
Shareholders’ funds also rose by 27 per cent to KSh350 billion.
Equity Bank Kenya Profit Rises 32% as Regional Dusinesses Drive Growth
Equity Bank Kenya continued its recovery, recording a 32 per cent increase in profit after tax to KSh25.7 billion from KSh19.5 billion.
The Kenyan banking unit’s balance sheet grew by 13 per cent, supported by a 24 per cent increase in customer deposits and an 8 per cent rise in loans.
The bank also recorded 11 per cent quarter-on-quarter loan growth, the first double-digit quarterly growth since the third quarter of 2021.
Equity said the Kenyan business maintained its position in the micro, small and medium enterprises segment, accounting for 36 per cent of the KSh101 billion in MSME loans issued in Kenya between January and March 2026.
Equity’s regional subsidiaries continued to contribute more to the group’s performance.
The subsidiaries accounted for 42 per cent of banking profitability and 47 per cent of banking revenue, while contributing 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.
Equity Rwanda’s profit after tax increased by 12 per cent to KSh2.9 billion.
Tanzania recorded the strongest growth, with profit after tax rising by 82 per cent to KSh2 billion.
The results underscore the growing contribution of Equity’s regional operations to the group’s earnings as it expands its pan-African banking business.
Equity Group Managing Director and Chief Executive Officer Dr James Mwangi said the lender’s strong half-year performance was supported by resilient economic growth across its regional markets, alongside a multi-year transformation programme focused on resilience, diversification and technology.
Mwangi said the economies in the countries where Equity operates are expected to remain among the fastest-growing in the world, with Kenya projected to grow by between 4.5 per cent and 5 per cent, the Democratic Republic of Congo by 5.6 per cent, Tanzania by 5.9 per cent, Uganda by 6.4 per cent, Rwanda by 6.8 per cent and South Sudan by 20 per cent.
He attributed the projected growth to firm commodity prices and policy reforms, saying the economic outlook was expected to support the group’s operations across the region.
“Equity’s half-year 2026 performance is the outcome of a multiyear transformation agenda focused on resilience, diversification, and technology enablement,” Mwangi said.
“The Group has repositioned its operating model, strengthened its regional presence, and invested heavily in digital and AI‑enabled capabilities to build an institution equipped for the future.”
Non-Funded Income Jumps 36%, Bad Loans Fall to 9.5%
Equity’s non-funded income increased by 36 per cent to KSh55.6 billion from KSh40.9 billion.
Its contribution to total group income rose to 44.5 per cent from 40.8 per cent a year earlier.
Net interest income also increased by 17 per cent to KSh69.3 billion from KSh59.3 billion, while total income rose 25 per cent to KSh124.9 billion.
The group said the increase in non-funded income reflected growth across its different business lines and markets.
The group also reported an improvement in the quality of its loan book.
Non-performing loans fell to 9.5 per cent from 13.7 per cent, moving the ratio into single digits.
At the same time, non-performing loan coverage improved to 70 per cent from 68 per cent.
Loan loss provisions declined by 6 per cent year-on-year, while the cost of risk fell to 1.4 per cent from 1.7 per cent.
The cost-to-income ratio also improved to 48.6 per cent from 51.7 per cent.
98.3% of Transactions Now Outside Branches
Equity said its digital transformation is changing how customers access its services.
The group reported that 98.3 per cent of all transactions now take place outside branches, with 89.7 per cent processed through digital platforms.
The bank serves 23.3 million customers through its digital platforms, including Equity Online, the Equity Mobile App, *247#, Eazzy FX and Equitel.
The group’s physical network includes 410 branches, 886 ATMs, 92,572 agency outlets and 1.4 million merchants.
Equity Invests in Artificial Intelligence
The group has also stepped up investment in artificial intelligence and staff training.
Equity 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.
A further 406 employees were admitted to master’s programmes in Financial Engineering and Applied AI through WorldQuant University.
Equity said the investment in technology and staff skills aims to improve service delivery, risk management, and the group’s ability to expand across its markets.
Insurance Business Grows
Equity Insurance Group also recorded strong growth during the period.
Gross written premiums increased by 24 per cent to KSh6.4 billion, while profit before tax rose by 34 per cent to KSh1.25 billion.
The life and general insurance businesses recorded KSh4.5 billion and KSh600 million in premiums, respectively, while health insurance generated KSh1.2 billion.
The group said 79 per cent of insurance policies had been distributed digitally.
Equity Foundation Expands Scholarships
The Equity Group Foundation continued to expand its education and entrepreneurship programmes.
The foundation currently supports more than 11,663 active high school scholars and secured 121 new global university admissions in 2026 valued at about KSh3.02 billion.
Through the Wings to Fly and Elimu scholarship programmes, more than 60,000 scholars have benefited to date.
The Equity Leaders Programme has also recorded more than 10,500 cumulative paid internships.
The foundation said it 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 through its environmental programmes.
Equity Group said it remains focused on its Africa Recovery and Resilience Plan 2030, which targets expansion into 15 countries and serving 100 million customers.
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