Co-op Bank grew Q1 net profit to 53.3 million, a 5.3 rise year-on-year, boosted by digital lending and strong interest income under its Soaring Eagle strategy.
Net interest income surged 21.7 to 109.9 million, while the MCo-op Cash platform disbursed 147.8 million in digital loans, driving financial inclusion and growth.
Operational efficiency improved with a reduced cost-to-income ratio of 45.5, as total assets climbed 8.3 to 6 billion, solidifying its top-tier market position.
Co-operative Bank Group Co-op Bank, led by Kenyan banking magnate and longtime CEO Gideon Muriuki, kicked off 2025 on a positive note, building on the previous years success and aligning with its strategic focus on sustainable growth, resilience, and agility while riding on its 'Soaring Eagle' transformation agenda.
For the first three months of its 2025 fiscal year, the banking group booked a net profit of 53.3 million, driven by robust digital lending and net interest income growth.
Digital lending and efficiency drive Co-op Bank profitAccording to its latest release , the Nairobi-listed lender started the year with a 5.3 percent year-on-year increase in net profit, climbing to Ksh6.9 billion 53.3 million from Ksh6.6 billion 48.76 million the previous year. The single-digit growth was powered by net interest income, which grew 21.7 percent to Ksh14.2 billion 109.91 million. Non-interest income remained steady, dipping slightly by 1.9 percent from Ksh7.1 billion 54.95 million to Ksh6.9 billion 53.4 million.
Co-ops digital pushanchored by its MCo-op Cash mobile walletdisbursed KSh19.1 billion 147.82 million in digital loans during the quarter. Loans to MSMEs stood at KSh3.04 billion 23.53 million, accounting for 16.6 percent of the total loan book. The bank also improved operational efficiency, trimming its cost-to-income ratio to 45.5 percent, down from 59 percent in 2014. Customer deposits rose 9 percent year-on-year to KSh525.2 billion 4.07 billion, while net loans increased 1.7 percent to KSh384.5 billion 2.98 billion.
Subsidiaries, including Co-op Trust Investment, Bancassurance, and Kingdom Bank, posted double-digit growth. Commenting on the performance, Co-op Banks CEO, Gideon Muriuki said: We continue to invest in a competitive team to support current operations and pursue new growth opportunities across the business, Muriuki said, citing progress under the banks Soaring Eagle transformation agenda focused on sustainability, innovation, and resilience.