Britam, Backed By Kenya's Elite, Reverses 16 Million Paper Loss On Hf Investment

Britam reversed a 16.2 million loss on its HF Group stake, citing a rebound in the mortgage lenders profitability and a 31 rally in its share price.

HF Group posted 4.06 million net profit in 2024, up 35.17, with a rights issue and higher income boosting its capital and asset position to 542.5 million.

Britams net profit rose 53.5 in 2024 to 38.9 million, driven by a 163 surge in investment income and tighter cost control across its business arms.

Britam Holdings, the Nairobi-based financial services group backed by prominent Kenyan investors Jimnah Mbaru, Peter Munga, James Mwangi, and Jane Wanjiru Michuki, has reversed over 16 million impairment loss previously recorded on its stake in the troubled mortgage lender HF Group, citing a marked recovery in financial performance and share price.

The Ksh2.09 billion 16.2 million impairment reversal reflects a full turnaround in HF Groups fundamentals after years of capital shortfalls, liquidity strains, and stock underperformance.

In 2022 , HF posted a net profit of Ksh265.57 million 2.05 million, recovering from a Ksh667.96 million 5.17 million loss in 2021. By 2024 , profit after tax climbed 35.17 percent to Ksh524.7 million 4.06 million, with total assets hitting Ksh70.15 billion 542.5 million.

Britams impairment reversal restores the entire loss previously booked on its HF investment, including a Ksh1.57 billion 12.15 million write-down in 2018 and a further Ksh602.7 million 4.66 million charge in 2020. The move strengthens Britams capital buffers and improves its solvency ratioskey indicators for regulators and investors.

For the fiscal year ended Dec. 31, 2024 , Britam reported a 53.5 percent jump in net profit to Ksh5.03 billion 38.9 million, up from Ksh3.28 billion 25.4 million a year earlier, driven by robust investment returns and cost discipline. Net investment income surged 163 percent to Ksh30.6 billion 236.7 million, while total assets rose 19.6 percent to Ksh208.5 billion 1.62 billion. Equity climbed 15 percent to Ksh29.5 billion 229.2 million.