Kenyan banker Paul Russo-led KCB Group posts $127 million Q1 profit

Key Points

• KCB Group posted a slight 0.3% increase in Q1 profit to $127.9 million, as strong interest income offset declines in non-interest earnings amid macroeconomic pressures.
• Customer deposits reached $10.84 billion while total loans hit $7.7 billion, as the bank maintained lending growth despite currency headwinds tied to a strengthening shilling.
• CEO Paul Russo reaffirmed the group’s commitment to technology, partnerships, and financial inclusion as strategic pillars driving sustainable growth across the region.

Kenya Commercial Bank (KCB) Group Plc, a Nairobi-based financial services company led by Kenyan banker Paul Russo, posted a marginal uptick in earnings for the first quarter ending March 2025, with profit rising to nearly $128 million. The performance was driven by regional growth and digital innovation despite a tough operating environment.

KCB posts marginal profit as non-interest income falls

According to the group’s recently published financial results, KCB Group reported a marginal 0.3 percent year-on-year rise in net profit to KSh16.53 billion ($127.94 million) for the quarter ended March 2025, up slightly from KSh16.48 billion ($127.57 million) a year earlier.

The subdued profit growth was underpinned by an 8.6 percent increase in interest income, which rose to KSh33.72 billion ($261.01 million) from KSh31.06 billion ($240.35 million). However, this was partially offset by a 9.7 percent decline in non-interest income, which fell to KSh15.72 billion ($121.68 million) from KSh17.42 billion ($134.84 million).

Customer deposits reached KSh1.4 trillion ($10.84 billion), while loans and advances closed at KSh1.02 trillion ($7.9 billion), despite currency headwinds tied to the strengthening of the Kenyan Shilling against the U.S. dollar.

Paul Russo highlights resilience, eyes growth

Group CEO Paul Russo commended the Group’s resilience, noting that its performance for the quarter reflected a strong collective effort across all business units. He said: “The quarter’s results underscore the commitment of our teams and the strength of our operations. With a strong balance sheet, we are well-positioned to support our customers in navigating emerging regional challenges.’’ 

 ‘‘As we look ahead to the remainder of the year, our priority remains leveraging the Group’s scale, capabilities, talent, and partnerships to deepen relationships and advance financial inclusion. We will continue to harness technology to enhance our services and deliver products that drive economic growth, sustainability, and long-term shareholder value,” he concluded.

KCB’s market position and financial strength

Founded in 1896, KCB Group operates as a diversified financial services holding company, overseeing KCB Bank Kenya, National Bank of Kenya, and several regional subsidiaries. Its portfolio also includes KCB Bancassurance Intermediary, KCB Investment Bank, KCB Asset Management, and the KCB Foundation. 

The Group commands one of the largest banking networks in the region, with 528 branches, 1,313 ATMs, and more than 1.2 million merchants and agents delivering round-the-clock financial services.

As of Q1 2025, KCB’s asset base rose to KSh2.03 trillion ($15.71 billion), a 2.01 percent increase from KSh1.99 trillion ($15.4 billion) in the same period last year. Return on equity climbed to 23.3 percent, while total shareholder equity surged 28.4 percent to KSh297.1 billion ($2.3 billion), reinforcing the Group’s industry-leading position.