Absa CEO Abdi Mohamed during the unveiling of the lender’s 2023 sustainability report. Photo/handout.
Absa Bank Kenya has announced a 4 percent increase in net profit, reaching Sh6.2 billion for the quarter ending March 31, 2025.
The bank attributes this performance to its operational resilience and strong customer confidence, despite a tough macroeconomic landscape.
Total revenue for the quarter stood at Sh15.8 billion, reflecting a 4 percent year-on-year decline. This was driven by a slight decrease in funded income to Sh11.3 billion and an 11 percent drop in non-funded income to Sh4.5 billion.
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In the same period, Absa disbursed Sh308 billion in loans and advances across key economic sectors. Customer deposits rose by 5 percent to Sh371 billion, while total assets increased by 5 percent to Sh520 billion.
Absa Bank CEO Abdi Mohamed said the performance underscores the bank’s strategic focus and commitment to meeting evolving customer needs.
“While the operating environment remained complex, we continued to implement our forward-looking five-year strategic plan, guided by our purpose: Empowering Africa’s tomorrow, together, one story at a time,” said Mohamed.
The bank also recorded a one percent reduction in total costs to Sh5.5 billion, contributing to an improved cost-to-income ratio of 35 percent. Impairment charges fell by 39 percent to Sh1.5 billion, signaling improved credit quality and strengthened risk management.
Return on equity rose to 27 percent, highlighting strong profitability and capital efficiency. The lender further maintained a healthy capital adequacy ratio of 20.4 percent and a liquidity reserve ratio of 46.9 percent, both comfortably above regulatory thresholds.
