I&M Group PLC opened 2026 with its sharpest customer growth in recent memory, adding clients at a 42% rate year on year while lifting profit after tax by 19% to KES 5.0 billion, up from KES 4.2 billion in Q1 2025.
The results signal broad momentum across the Group’s East African and Mauritian operations, with all subsidiaries recording balance sheet growth. Regional units contributed 31% of overall profit before tax, underscoring the value of a diversified geographic footprint.
Growth Across Every Business Line
Beyond the headline profit figure, several business segments posted standout growth. The bancassurance unit grew revenues by 33%, driven by a 148% jump in underwritten premiums to KES 3.5 billion compared to the same period in 2025. The wealth management business more than tripled its revenues, rising 209% to close at KES 229 million.
Asset quality also improved. Gross non-performing loans fell from KES 34 billion to KES 32 billion, while the Group increased provisions by 63% year on year, proactively strengthening coverage buffers across its markets. Capital and liquidity ratios held firm across all subsidiaries.
Operating expenses rose 28% as the Group pressed ahead with branch expansion, talent development, and brand investment. Management framed this as deliberate rather than reactive.
“These results reflect the growing strength of our regional franchise and the trust our customers continue to place in us,” said I&M Bank Regional CEO Kihara Maina. “We will continue investing in our people, technology, and distribution network while maintaining prudent risk management to drive sustainable long-term growth across our markets.”
I&M Bank Kenya: Deposits Up, Branches Expanding
The Kenyan business, the Group’s largest unit, grew profit after tax by 16% to KES 3.3 billion, up from KES 2.8 billion in Q1 2025. Net interest income and a 21% rise in operating income provided the foundation, with the retail segment driving most of the loan portfolio growth.
Customer deposits climbed 25%, reflecting sustained success in deposit mobilisation. The gross non-performing loan ratio held steady at 12.7%. Operating expenses increased 25% year on year, largely tied to the Mahali Uko, Tuko branch expansion campaign, which added 12 new locations since Q1 2025.
The bank also advanced two notable partnerships during the quarter. A collaboration with B Lab Africa will support small and medium enterprises through the Resilient Sustainable Business programme, focused on building long-term business resilience. Separately, a deal with the Swedish International Development Cooperation Agency (SIDA) will unlock a USD 30 million green lending portfolio for climate-aligned projects across Kenya.
Regional Performance at a Glance
| Market | Q1 2026 PBT | Q1 2025 PBT | Change | Key Driver |
|---|---|---|---|---|
| Kenya (PAT) | KES 3.3bn | KES 2.8bn | +16% | Net interest income, retail loan growth |
| Rwanda | KES 850m | KES 748m | +14% | Increased economic activity |
| Tanzania | KES 469m | KES 324m* | +45% | Asset growth, trade finance revenues |
| Uganda | KES 304m | KES 113m | +169% | Net interest income, non-funded income |
| Mauritius (Bank One) | KES 444m | KES 472m* | −6% | Total assets up 14%; strong JV performance |
Uganda recorded the most dramatic turnaround, with profit before tax rising 169% to KES 304 million as total assets expanded from UGX 1.1 trillion to UGX 1.6 trillion. Tanzania followed closely with a 45% increase, while Rwanda delivered steady 14% growth. Mauritius was the one exception, where Bank One saw a 6% dip in profit before tax despite total assets growing 14%, supported by strong joint venture performance.
What the Numbers Say
The Group’s Q1 2026 performance points to a business successfully balancing growth investment with financial discipline. Customer acquisition at 42% year on year, paired with improving asset quality and stronger provisions, suggests the expansion is not coming at the cost of portfolio health. The surge in bancassurance and wealth management revenues also indicates that the Group is moving beyond traditional banking income, which reduces exposure to interest rate cycles. With green finance commitments now formalised and regional subsidiaries gaining momentum, the outlook for the rest of 2026 appears grounded in something more durable than a single quarter’s results.
