Equity Group Holdings has reported a 32% increase in profit after tax for the first half of 2026, helped by stronger income, growth in its regional businesses and increased use of digital financial services.
The Kenyan-based financial services group said profit after tax rose to KSh45.5 billion, (UGX 1.31 trillion), from KSh34.6 billion, (UGX 995 billion), in the same period last year.
Equity said the improvement was supported by better quality and growth of its balance sheet, stronger contributions from subsidiaries outside Kenya and increased income from services other than traditional lending.
Net interest income, which is money earned mainly from lending after taking account of interest paid, increased by 17% to KSh69.3 billion, (UGX 1.99 trillion), from KSh59.3 billion. Total income rose by 25% to KSh124.9 billion, (UGX 3.58 trillion) from KSh100.2 billion.
A major contributor was non-funded income, which includes earnings from services such as payments, fees and other banking activities. It increased by 36% to KSh55.6 billion, (UGX 1.60 trillion), from KSh40.9 billion.
Equity said non-funded income now accounts for 44.5% of total income, compared with 40.8% in the first half of 2025.
The group’s balance sheet also expanded by 20% to KSh2.16 trillion, (UGX 62 trillion). Customer deposits increased by 21% to KSh1.59 trillion, while net loans rose by 19% to KSh981 billion. Shareholders’ funds increased by 27% to KSh350 billion.
The results show that customers continue to use Equity’s banking services as demand for credit grows in the markets where the group operates.
Equity said it now serves 23.3 million customers through digital and physical channels, including Equity Online, Eazzy FX, the Equity Mobile App, *247# and Equitel. The group has 410 branches, 886 ATMs, 92,572 agency outlets and 1.4 million merchants.
Dr James Mwangi, Equity Group’s managing director and chief executive, said the performance came against a background of continued economic growth across the region.
He said Kenya is projected to grow by between 4.5% and 5%, while the Democratic Republic of Congo is projected to grow by 5.6%, Tanzania by 5.9%, Uganda by 6.4%, Rwanda by 6.8% and South Sudan by 20%.
Mwangi said the group’s performance reflected a long-term strategy focused on strengthening its operations, expanding across the region and investing in technology and artificial intelligence.
The group also reported an improvement in operating efficiency. Its cost-to-income ratio fell to 48.6% from 51.7%. In simple terms, this means Equity spent less to generate each unit of income than it did during the same period last year.
Return on assets stood at 4.5%, while return on equity reached 26.5%.
Mwangi said the group was moving beyond traditional banking by investing in digital services, artificial intelligence and staff training.
The shift towards digital banking is already significant. Equity said 98.3% of all transactions now take place outside its branches, while 89.7% are processed through digital platforms.
The group said 82% of its staff had completed a business-focused generative artificial intelligence course, while 55% had completed two additional courses through the Huawei ICT Academy.
Staff completed 119,980 hours of guided AI training, while 406 employees were admitted to master’s degree programmes in financial engineering and applied AI through WorldQuant University.
Equity also reported an improvement in the quality of its loan book. Non-performing loan coverage increased to 70% from 68%, while loan loss provisions fell by 6% compared with the previous year.
The proportion of loans classified as non-performing declined from 13.7% to 9.5%, while the cost of risk improved to 1.4% from 1.7%.
Equity Bank Kenya, the group’s largest banking operation, reported a 32% increase in profit after tax to KSh25.7 billion, (UGX738 billion), from KSh19.5 billion.
The Kenyan bank recorded 13% growth in assets, supported by a 24% increase in deposits and 8% growth in loans. It also maintained its focus on micro, small and medium-sized enterprises, disbursing 36% of the KSh101 billion in MSME loans issued in Kenya between January and March 2026.
The group’s regional subsidiaries were also an important part of its performance.
Equity said the businesses outside Kenya now contribute 42% of group banking profits and 52% of banking revenue. They also account for 51% of group deposits, 54% of group loans and 52% of banking assets.
Equity BCDC in the Democratic Republic of Congo recorded a 30% increase in profit after tax to KSh11.8 billion, while Equity Rwanda’s profit after tax increased by 12% to KSh2.9 billion. Equity Tanzania recorded an 82% increase to KSh2 billion.
The group’s insurance business also grew. Equity Insurance Group reported a 24% increase in gross written premiums to KSh6.4 billion, while profit before tax rose by 34% to KSh1.25 billion.
The insurance business had issued 22.6 million life insurance policies, with 7.2 million unique customers using life insurance products. It also served 24,745 micro and small enterprises through general insurance products.
The group’s non-banking businesses contributed 4.8% of total revenue, up from 4%. Their contribution to profit before tax increased to 4.2% from 3.8%, while their contribution to profit after tax rose to 3.7% from 3.2%.
Beyond banking, Equity Group said its foundation continued to support education, entrepreneurship, agriculture, environmental protection and other social programmes across Africa.
The Equity Group Foundation currently supports more than 11,663 active secondary school scholars. In 2026, 121 new scholars gained admission to universities outside their home countries, with the scholarships valued at about Shs3.02 billion.
The foundation said more than 60,000 scholars have benefited from its Wings to Fly and Elimu scholarship programmes, while more than 35,300 scholars across Kenya, Rwanda, Uganda and the Democratic Republic of Congo have transitioned to public universities.
On environmental protection, the foundation said it had planted more than 48.7 million trees and was expanding clean energy, water and sanitation initiatives.
Equity Group has also received accreditation as a Direct Access Entity to the Green Climate Fund. The group said the accreditation will allow it to directly mobilise climate finance for projects aimed at climate adaptation, renewable energy, sustainable agriculture and other environmental programmes.
Equity Afya, the group’s healthcare business, has expanded to 156 medical centres, which have recorded more than 5.3 million patient visits. It has also opened its first community pharmacy as part of a plan to establish a larger network of pharmacies across the region.
The group is also expanding its technology training programmes. It said its initiatives are aimed at training 600,000 young people in artificial intelligence, machine learning and data analytics.
A total of 12,882 staff had completed the generative AI course, while 5,743 had completed two additional Huawei certification courses. Another 406 staff had been admitted to a master’s programme in financial engineering through WorldQuant University.
Equity said its long-term strategy, known as the Africa Recovery and Resilience Plan 2030, aims to expand its operations to 15 countries, serve 100 million customers and deploy more advanced digital and AI-enabled systems.
The group said it remains adequately capitalised to pursue those targets as it seeks to expand its role in banking, payments, insurance, technology and other financial services across Africa.
