pressug.com News 24 7
Related Articles
Equity Group Holdings Plc has reported strong first-quarter results for 2026, demonstrating the continued success of its deliberate transformation into a resilient, technology-led, pan-African financial services Group. Profit After Tax rose 24 per cent to KSh 19.1 billion, reflecting strengthened balance sheet quality, disciplined execution, and growing contributions from regional subsidiaries.The Group’s balance sheet expanded 16 per cent to KSh 2.04 trillion, supported by 13 per cent growth in customer deposits and 9 per cent growth in net loans, signalling sustained customer confidence and broad-based economic activity across its markets. This growth was driven by a strong and growing customer base of 22.7 million customers, supported by an extensive distribution infrastructure comprising 86,910 Agency Outlets and 1.4 million merchants, reinforcing the group’s position as a leading integrated financial services provider in the region.The group also registered better operational efficiency, with the cost-to-income ratio declining to 50.6 per cent from 54.2 per cent – a direct outcome of productivity gains, shared services, and customer-led migration to digital channels.Return on assets (ROA) and equity (ROE) also remained strong, with ROA at 3.9 per cent and ROE at 22.6 per cent, signalling disciplined capital deployment.Commenting on the results, Dr James Mwangi, Group Managing Director and CEO, said: “Our Q1 performance reflects the success of our deliberate transformation into a diversified, regional, technology-led financial services Group. We are building a future-ready institution; scalable, secure, and impact-led, anchored in digital capabilities, staff upskilling, and a culture of disciplined execution.”He added: “As we progress toward our 2030 ambitions, we are evolving beyond traditional banking into a Transformation Finance Institution that mobilizes capital, connects ecosystems, and accelerates inclusive, sustainable prosperity across Africa.” Equity’s customers continued to shift toward digital channels, with 98.3 per cent of all transactions occurring outside branches and 89.5 per cent processed through digital platforms.The group also continued to strengthen asset quality and risk buffers. Non-performing loans (NPL) coverage improved to 72 per cent, up from 67 per cent, while loan loss provisions declined by 18 per cent.Regional subsidiaries continued to deliver strong and accelerating growth, and now account for 50 per cent of group banking profitability and 52 per cent of group banking total assets – a milestone in Equity’s journey to become a continental champion. Equity Bank Kenya delivered a 21 per cent year-on-year increase in profit after tax, while EquityBCDC in the Democratic Republic of Congo’s profit after tax rose by 32 per cent. Equity Rwanda delivered a 36 per cent increase, while Equity Tanzania recorded exceptional performance with 150 per cent growth.The Equity Group Foundation (EGF) continued to deliver transformative social impact across Africa through the group’s integrated model of economic empowerment, social impact and sustainability. Across its Education and Leadership Development pillar, EGF now supports over 12,844 active high school scholars and expanded global university opportunities with 91 new international admissions valued at over USD 18.6 million. To date, EGF under the Wings to Fly scholarship program and the Elimu Scholarship Program has benefitted 60,009 scholars. The Equity Leaders Program has also surpassed 10,515 cumulative paid internships, strengthening Africa’s future leadership and workforce pipeline. In Food and Agriculture, the Foundation continued to deepen agricultural commercialisation and climate resilience, including through the USD 25 million SASTAIN programme in partnership with Mastercard Foundation targeting 60,000 smallholder farmers and agri-MSMEs in Tanzania and DRC.Through its Energy, Environment and Climate Action pillar, EGF advanced sustainability efforts by planting over 45.5 million trees and scaling clean energy, water and sanitation solutions to strengthen environmental resilience and green growth across communities.Equity Afya continued to expand access to affordable and quality healthcare through a growing network of 154 medical centres that have now served over 4.9 million patient visits.EGF’s Innovation and Technology Pillar also scaled rapidly to train 600,000 youth in AI, machine learning and data analytics through partnerships with iamtheCODE, Huawei ICT Academy and WorldQuant University. Under the Huawei ICT Academy programme, 7,344 staff completed the GenAI course and have been invited to undertake two additional prescribed Huawei certification courses. Through WorldQuant University, 641 staff have been admitted to the MSc in Financial Engineering programme.Meanwhile, 5,206 users are now enrolled at the iamtheCODE Digital Academy, with 3,587 hours of instruction completed to date. These achievements continue to position Equity Group as a future-ready institution driving inclusive prosperity, sustainable development and long-term resilience across Africa through innovation, human capital development and transformative partnerships.With ROA and efficiency at peak levels, Equity is preparing for the next phase of growth under its 2030 strategy, anchored on the Africa Recovery and Resilience Plan (ARRP). The strategy aims to expand operations to 15 countries, serve 100 million customers, deploy next generation digital and AI-enabled systems, for transformation finance across Africa. The Group remains well capitalised with sufficient headroom to support its growth ambitions
Related
, https://observer.ug/business/equity-bank-registers-tech-led-growth-in-first-quarter/
