The Co-operative Bank of Kenya reported its highest-ever profit, closing the 2024 financial year with KSh 34.8 billion, a 7.5% increase from the KSh 32.4 billion recorded in 2023.
After-tax, this translates to a profit of KSh 25.5 billion in 2024, compared to KSh 23.2 billion in 2023, representing a 9.8% growth.
Group Managing Director and CEO, Gideon Muriuki, attributed this consistent growth to the bank’s adherence to the “Soaring Eagle” transformation agenda, emphasizing the bank’s “strategic focus on sustainable growth, resilience, and agility.”
This robust performance has enhanced shareholder value, reflected in a competitive Return on Equity of 19.7%.
The Board of Directors has recommended a dividend of KSh 1.50 per share, subject to regulatory and shareholder approval at the upcoming virtual Annual General Meeting on May 16th.
Key performance highlights include a 10.7% growth in total assets, reaching KSh 743.2 billion, up from KSh 671.1 billion in 2023.
Customer deposits grew to KSh 506.1 billion, and shareholders’ funds increased to KSh 145.4 billion. Net loans and advances stood at KSh 373.7 billion, a slight decrease from KSh 374.2 billion in 2023.
External funds from development partners were KSh 5.4 billion, down from KSh 67.3 billion in 2023.
Notably, total operating income, total non-interest income, net interest income, and total operating expenses all increased, by 12.5%, 10.1%, 13.9%, and 17.7%, respectively. Despite rising expenses, the bank achieved a Cost-to-Income Ratio of 47.2% in FY2024, a significant improvement from 59% in FY2014.
The bank also expanded its digital footprint, with over 92% of customer transactions now conducted through alternative delivery channels, including a 24-hour contact centre, 617 ATMs & CDMs, mobile and internet banking, and over 16,000 Co-op kwa Jirani agents.
The Mco-op Cash Mobile wallet disbursed KSh 76.7 billion in loans during the financial year, averaging KSh 6.39 billion per month.