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Equity Group Holdings posted a record profit in 2025, and the numbers will translate into a substantial personal windfall for chief executive James Mwangi, who is set to receive more than Sh734 million ($5.6 million) in dividends based on his shareholding in the group.
Profit after tax rose 55% to Sh75.5 billion for the year ended Dec. 31, 2025, up from Sh48.8 billion a year earlier. The board proposed a dividend of Sh5.75 per share, lifting the total payout to Sh21.7 billion, a 35.3% increase from the Sh16 billion distributed the previous year. Shareholders will vote on the final payout at the annual general meeting.
Equity's staff will also share in the results. Employees are expected to receive close to Sh700 million through the bank's employee share ownership plan, according to the group's disclosures.
The headline profit figure places Equity firmly among Kenya's most profitable listed companies and reflects a year in which higher lending returns, regional growth and disciplined cost control all moved in the same direction at the same time.
The group's balance sheet expanded 9% to Sh1.97 trillion. Customer deposits rose 4% to Sh1.46 trillion, net loans grew 8% to Sh882.5 billion, and the group ended the year with 22.4 million customer accounts.
Income growth was broad-based. Net interest income increased 17% to Sh126.9 billion, while non-funded income rose 7% to Sh90.8 billion. Total income climbed 12% to Sh217.7 billion. Cost control was just as notable. Equity's cost-to-income ratio improved to 51.0% from 58.2%, driven by a push toward self-service banking. More than 98% of customer transactions were conducted outside branches, with 88.4% processed through digital channels.
Credit quality moved in a favourable direction. Loan loss provisions fell 28% to Sh14.5 billion, down from Sh20.2 billion a year earlier, and non-performing loan coverage strengthened to 67.7%. The cost of risk dropped to 1.7%.
Regional operations are becoming a bigger part of the story. Mwangi said subsidiaries outside Kenya now contribute roughly half of the group's banking profitability, a diversification that cushions the group when any single market runs into trouble. Kenya remains the biggest engine, with Equity Bank Kenya posting a 63% jump in profit after tax to Sh39.2 billion.
Beyond Kenya, results were strong across several markets. Profit after tax in the Democratic Republic of Congo rose 58% to Sh24.7 billion. Uganda's profit after tax jumped to Sh3.6 billion. Rwanda posted Sh5.4 billion and Tanzania contributed Sh2.7 billion.
The record results arrive at a moment of some tension in Kenya's financial sector. Banks are reporting historically high earnings, driven in part by elevated interest rates that have boosted lending income. At the same time, households and small businesses continue to feel the weight of the cost of living, and access to affordable credit remains uneven. Equity's numbers, and the rewards they generate for executives and shareholders, are likely to keep that conversation going.
