NCBA Group has reported a net profit of Sh 21.9 billion for the financial year 2024, marking a 2.0% increase year-on-year. As a result, NCBA Group announced a final dividend of Sh 3.25 per share, bringing the total dividend payout for 2024 to Sh 5.50 per share.
The Group continued to drive financial inclusion across Africa, surpassing the Sh 1 trillion mark in digital loan disbursements. This was achieved through partnerships that have extended financial services to over 60 million customers. NCBA’s non-performing loan ratio stood at 11.2%. The Group also maintained a solid impairment coverage of 60%.
NCBA disbursed Sh 1.0 trillion in digital loans, a 23% increase from the previous year. Profit after tax reached Sh 21.9 billion, up by 2.0%, while profit before tax stood at KES 25.1 billion, a slight decline of 1.0%. Operating income declined by 1.5% to Sh 62.7 billion, while operating expenses rose by 10.6% to Sh 32.2 billion. Provision for credit losses fell significantly by 40% to Sh 5.5 billion. Customer deposits stood at Sh 502 billion, marking a 13.4% decline, while total assets were valued at Sh 666 billion, representing a 9.3% decrease.
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John Gachora, NCBA Group Managing Director, expressed confidence in the company’s strategic direction and resilience.
“We are pleased to announce our Full Year 2024 financial results which reflect the resilience of our diversified business model. The underlying trends of our P&L remained solid while our cost increase of 10 per cent was driven by targeted investments in digital transformation, network expansion and operational efficiency which have positioned us for long-term growth. Amidst ongoing external headwinds, NCBA’s strategic imperatives have enabled us to deliver shareholder value,” he remarked.
The Group’s regional subsidiaries in Uganda, Tanzania, and Rwanda posted a combined profitability of Sh 3.2 billion, a 7% increase from the previous year. Additionally, non-banking subsidiaries, including the Investment Bank, Bancassurance, Leasing, and Insurance businesses contributed Sh 1.2 billion to the Group’s profitability, a 36% increase.
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NCBA expanded its physical presence by opening 10 new branches in Kenya, Rwanda, and Uganda, bringing its total branch network to 119 locations. Through an agency banking partnership with Postbank, 476 agents and 96 branches were onboarded across Kenya, enhancing customer accessibility. The Group also expanded its global footprint through its diaspora banking initiatives, particularly in Australia, the Middle East, and the United States.
The Group maintained its leadership in asset financing, holding a 35% market share. NCBA’s corporate banking division continued to strengthen its position, backed by a deposit base of Sh 210 billion, with a revamped internet banking platform expected to further enhance service delivery.
NCBA was recognized as an employer of choice, attracting top-tier talent and fostering leadership development. The Go Getter internship program welcomed over 80 young professionals, reinforcing the Group’s commitment to youth employment. The organization maintained a gender-balanced workforce, with 51% male and 49% female employees. Additionally, training partnerships with Microsoft and Amazon Web Services facilitated skills development for over 3,500 employees.
Jefferson Wachira is a writer at Africa Digest News, specializing in banking and finance trends, and their impact on African economies.