NCBA Group has reported a notable 5 percent increase in net profit for the first half of 2024, reaching Sh9.8 billion, up from Sh9.4 billion in the same period last year. This growth was primarily driven by enhancements in customer experience and operational efficiency, showcasing the Group’s ability to navigate a challenging economic landscape.
Group Managing Director John Gachora expressed satisfaction with the results, emphasizing the strength and resilience of NCBA’s diversified business model. Despite a tight interest rate environment and elevated cost of funds, the Group maintained robust performance, highlighting its strategic focus on revenue diversification.
The Group’s banking division posted a stable profit before tax of Sh11.7 billion, while non-banking subsidiaries, such as investment banking, bancassurance, and leasing, contributed an additional Sh600 million. This 56 percent increase in profitability from non-banking subsidiaries underscores the effectiveness of NCBA’s approach to expanding its revenue streams.
In its commitment to financial inclusion, NCBA disbursed Sh478 billion in digital loans, further strengthening its digital platform services. This significant achievement reflects the Group’s dedication to leveraging technology to enhance access to financial services across diverse customer segments.
However, the Group also faced challenges, with operating expenses rising by 15.5 percent to Sh16.5 billion during the period. This increase highlights the ongoing need to manage costs effectively while continuing to invest in growth and innovation.
NCBA Group’s first-half performance in 2024 demonstrates its resilience, strategic focus, and commitment to growth, positioning it strongly for the remainder of the year and beyond.
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