The Co-operative Bank of Kenya has begun the year on a stronger footing, with net earnings for the first half of 2025 climbing to Sh14.1 billion, an 8.4 per cent rise from Sh13 billion a year earlier.
According to the institution, the performance comes on the back of expanding loan volumes, an aggressive branch rollout, and heavy use of its digital channels.
Over the six months to June, the bank’s total assets swelled to Sh811.9 billion, up 13.2 per cent, while customer deposits increased to Sh547.7 billion, a gain of 7.9 per cent.
Loans and advances grew to Sh391.3 billion, marking a 4.2 per cent expansion, with retained earnings of Sh18.4 billion helping lift shareholders’ funds by 23.4 per cent to Sh156.3 billion.
The lender generated Sh43.5 billion in operating income, a 10.8 per cent increase, fuelled by a 23.1 per cent surge in net interest income.
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Operating expenses were higher by 13 per cent, yet efficiency improved, with the cost-to-income ratio standing at 44.9 per cent compared to 59 per cent in 2014.
Digital adoption continued to dominate transactions, with more than 90 per cent of activity taking place on mobile and alternative platforms.
Through its M-Co-op Cash mobile wallet, the bank issued Sh36.4 billion in loans in the period, Sh5.7 billion of which went to micro, small and medium enterprises (MSMEs).
This segment now makes up 17.3 per cent of the loan book, supporting 249,319 customers, including 68,800 who have undertaken business training programmes.
Branch expansion was equally pronounced. Fifteen new outlets were added, taking the network to 212 branches and increasing staff numbers by 450 to a total of 5,850.
The group’s subsidiaries, Kingdom Bank and Co-op Bank of South Sudan, also grew their reach during the period.
Subsidiary earnings were robust: Co-op Trust Investment Services recorded Sh360.8 million in profit before tax, up 152.8 per cent, with assets under management climbing to Sh461.7 billion.
Co-op Bancassurance brought in Sh790.8 million, Kingdom Bank earned Sh491.1 million, and Kingdom Securities posted Sh63.2 million.
Reflecting on the performance, Group Managing Director and CEO Dr. Gideon Muriuki remarked that the results were the product of the lender’s “universal banking model, robust digital presence, extensive physical network, and deep roots in Africa’s largest co-operative movement with 15 million members.”
With a growing balance sheet, modernised transaction channels and a broader footprint, Co-operative Bank heads into the second half of 2025 in a position to deepen its market presence and sustain profitability.
