Stanbic Bank has reported a 12.82% increase in profit after tax for the full year 2024, rising to Ksh 13.72 billion from Ksh 12.16 billion in 2023. The profit growth was achieved despite a decline in income compared to the previous year, supported by lower operational costs and reduced credit impairment charges.
Shareholders’ funds increased by 10.0% to Ksh 75.40 billion from Ksh 68.55 billion. Additionally, total operating expenses dropped significantly by 14.2% to Ksh 20.77 billion from Ksh 24.22 billion. The bank also rewarded its shareholders with a 35.1% increase in dividend per share, reaching Ksh 20.74 from Ksh 15.35.
Total assets declined by 0.97% to Ksh 454.83 billion from Ksh 459.28 billion, marking the first drop in over a decade.
Additionally, net interest income dropped by 5.1% to Ksh 24.34 billion from Ksh 25.65 billion, and non-interest income saw a 1.7% decline to Ksh 15.41 billion from Ksh 15.67 billion.
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Loans and advances to banks and customers also fell by 17.27% to Ksh 294.70 billion from Ksh 356.21 billion, while deposits decreased by 2.37% to Ksh 339.01 billion from Ksh 347.24 billion.
Dr. Joshua Oigara, Chief Executive of Stanbic Bank Kenya & South Sudan, highlighted the bank’s resilience and strategic focus on efficiency.
“We had a robust performance in 2024, fueled by our ongoing focus on platforms, solutions, and processes that drive business growth while maximizing value for our stakeholders. Our investments in technology, talent, and innovative business strategies have positioned us to deliver resilient earnings and create a positive impact across Kenya and South Sudan. We remain dedicated to partnering with our clients and shareholders to achieve sustainable, long-term growth.” Oigara stated.
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He further emphasized that the bank’s 13% profit growth demonstrates the success of its long-term strategic initiatives.
“Our 2024 performance reflects the resilience of our business and strategy. We continue to invest in solutions, platforms and processes that drive efficiency while building stakeholder value. We achieved a 13% year on year growth in profitability, sustaining our double-digit growth momentum.” he added.
“We deliberately shielded our customers from high credit costs by not passing the entire impact of rising funding costs to them. This helped not only grow our average lending through the period but also keep credit defaults and impairments below industry levels. Our continued focus on extracting efficiency from our operations continue to bear fruits as evidenced by the 2% overall reduction in operating costs” noted Dennis Musau, Chief Financial & Value Officer.
Stanbic Bank received multiple awards in 2024, including:
- Best Private Bank in Kenya (Global Finance)
- Best FX Bank in Kenya (Euromoney)
- Best Investment Bank in Kenya (Euromoney)
- Best Trade Finance Bank in Kenya (Global Trade Review)
Stanbic Bank’s subsidiaries, SBG Securities Limited and Stanbic Bancassurance Intermediary Limited, posted after-tax profits of Ksh 20 million and Ksh 174 million, respectively.
In November 2024, Fitch Ratings reaffirmed Stanbic Bank Kenya Limited’s Long-Term Issuer Default Rating (IDR) at ‘B’ with a Stable Outlook, citing the bank’s strong risk management framework and operational efficiency.