NCBA Group has reported a 7 percent rise in full-year net profit to Sh23.4 billion ($181 million), concluding its five-year strategic plan on a high note as it prepares for a new era following the proposed acquisition of a controlling stake by South Africa’s Nedbank.

The board has recommended a final dividend of KSh 7.10 per share, bringing the total shareholder payout for 2025 to KSh 11.7 billion. This dividend represents a 30 percent increase from KSh 9.1 billion in 2024.

The Nairobi-based lender recorded a 10.9 percent increase in gross profit to KSh 27.9 billion, driven by a 17 percent surge in operating income to KSh 73.3 billion.

NCBA’s performance caps a six-year period during which the group more than doubled its customer base. It also expanded its regional footprint to over 4,000 employees from 2,512. NCBA also cemented its position as a leader in digital lending, with KSh 1.4 trillion in digital loans disbursed across Africa in 2025 alone.

But it is the proposed acquisition by South Africa-based Nedbank, first announced last year, that now takes centre stage in shaping the group’s next phase of growth.

Nedbank deal to deepen regional integration.

Nedbank is set to acquire a 66 percent stake in NCBA Group. According to Group management, the deal will significantly accelerate the lender’s strategic ambitions while preserving a strong commitment to local markets.

The deal is expected to unlock substantial value for shareholders, providing liquidity and diversifying risk beyond East Africa. Additionally, it is expected to strengthen NCBA’s capital base, thereby driving expansion into new regional markets.

For customers, the integration will bring access to Nedbank’s international servicing and distribution capabilities across London, the Isle of Man, Jersey, and Dubai. It also provides larger-ticket funding options that might have previously been out of reach for many businesses in the region.

“We are proud of the progress we have made, excited about the Ubuntu strategy, and clear that the Nedbank transaction will only accelerate our ambitions,” said Group Managing Director John Gachora.

Subsidiaries’ performance

NCBA’s Kenyan banking subsidiary remained the primary profit engine, contributing 82 percent of profit before tax at KSh 22.9 billion. This reflects a 27 percent compound annual growth rate since 2020.

The regional banking subsidiaries recorded a combined KSh 3.6 billion in gross profit, driven by balance sheet growth and lower impairment costs. At the same time, NCBA’s non-banking subsidiaries, including investment banking, bancassurance, leasing, and insurance, contributed KSh 1.9 billion in gross earnings.

During the year under focus, assets under management at the investment banking arm crossed the KSh 100 billion mark. NCBA Insurance recorded an 82 percent rise in gross profit to KSh 306 million in its first full year as a fully integrated subsidiary.

New ‘Ubuntu’ strategy

Building on the foundation laid over the past six years, NCBA Group has unveiled its 2026–2030 Ubuntu strategy, a blueprint anchored on a new organisational purpose: “Banking on Belief – Empowering Ambitions.”

The strategy rests on four pillars: fortifying the core banking business; scaling high-growth segments, including wealth, consumer, small enterprises, and insurance.

It seeks to unlock new growth frontiers through geographic and sectoral expansion and transforming the operating model to foster a more empowered, purpose-driven culture.

Under the new model, NCBA’s digital business, which contributed 32 percent of the group’s profit or KSh 9 billion, will remain a key focus.

Since 2020, NCBA has maintained over 30 percent market share in asset finance. This performance is driven by dealer partnerships and innovations such as Carduka, an AI-powered platform that has attracted 6 million new users.

Sustainability

The group has also made notable progress under its “Change The Story” sustainability strategy, mobilising KSh 9.5 billion in green and sustainable financing, planting over 1.3 million trees, and impacting 1.2 million livelihoods to date.

Its brand recognition has grown in tandem, with NCBA now ranked among Kenya’s top 10 most valuable brands and in the top 100 in Africa by Brand Finance. The group was recently certified as a Top Employer 2026 by the Top Employers Institute.

“The 2025 outcomes are a great milestone to close out our 2020–2025 strategy,” Gachora said. “Over the last five years, disciplined execution and enhanced diversification have delivered a more robust institution with momentum to carry us forward.”

[email protected]