Co-op Bank has recorded another spectacular start to the year, making Ksh9.63 billion in profit before tax in the first three months of 2025.
In comparison, Co-op Bank registered a profit before tax of Ksh9 billion in Q1 of 2024.
The bank has announced a profit of Ksh6.9 billion after tax for the first quarter of 2025, covering January to March. This is a Ksh300 million increase from Ksh6.6 billion recorded in the same period last year.
According to Co-op Bank, the rise in profit can be traced to growth in its assets, loans and advances, as well as customer deposits over the period. The bank’s assets, for instance, grew by 8.3 per cent or Ksh59.4 million, to Ksh774.1 billion. This is up from Ksh714.7 billion in the same period last year.
Loans advanced in the three months grew to Ksh384.5 billion, up by Ksh6.4 million from last year, while customer deposits grew to Ksh525.2 billion, a 9 per cent jump.
“Shareholders' funds have grown to Ksh155.9 billion, a 22.7% increase from Ksh127.1 Billion in Q1 2024, driven by the strong growth in retained earnings of Ksh16.7 billion,” Co-op Bank said in a statement on Thursday.
One avenue that continued to drive up revenues with growth is the Mco-op Cash Mobile wallet, which distributed Ksh19.1 billion in the same period, averaging Ksh6.37 billion per month.
Over the three months, Co-op Bank’s total operating income rose by 12.8 per cent, climbing from Ksh18.8 billion to Ksh21.2 billion. The boost was driven mainly by net interest income, which jumped by 21.7 per cent to hit Ksh14.2 billion—up from Ksh11.7 billion.
However, non-interest income dipped slightly by 1.9 per cent, dropping from Ksh7.1 billion to Ksh6.9 billion. At the same time, operating expenses ballooned by 19.1 per cent, hitting Ksh11.7 billion.
“The strong performance by the Bank is in line with the Group's strategic focus on sustainable growth, resilience, and agility, riding on the 'Soaring Eagle' Transformation Agenda,” the bank said.
Co-op Bank now employs 5,888 having added over 488 young people, as well as expanding to a total of 212 outlets (5 in South Sudan). The newest branch in Kibwezi saw the Bank hit 15 additional outlets this year.
In terms of subsidiaries, the Co-operative Bank of South Sudan, which is a unique joint venture partnership with the Government of South Sudan (Co-op Bank 51 per cent and GOSS 49 per cent), made a Profit Before Tax of Ksh80.7 million in the three months to March.
It was revised to account for changes in the general purchasing power of the South Sudanese Pound, resulting in a loss of Ksh47 million.
“Co-op Trust Investment Services Ltd contributed Ksh161.5 Million Profit Before Tax in Q1 2025 compared to Ksh75.5 Million in Q1 2024, a commendable 113.9 per cent growth. The Subsidiary has Funds Under Management currently at Ksh383.9 billion,” Co-op Bank noted.
Kingdom Bank Limited, on the other hand, contributed a Profit Before Tax of Ksh224.7 million, while Kingdom Securities Limited recorded growth to Ksh41.8 million.
Co-op Bank anticipates the growth will continue in the second and third quarters of the year, marking an overall growth for 2025.