Absa Bank Kenya Reports 28% Surge in Profits, Declares Kshs. 9.5B Dividend
Absa Bank Kenya Chief Financial Officer Yusuf Omari, Chairman, Board of Directors Charles Muchene, and Chief Executive Officer Abdi Mohamed during the release of Absa Bank Kenya’s full-year 2024 financial results during which the bank announced a net profit of KES. 20.9 billion
Absa Bank Kenya PLC has posted a robust financial performance for the year ended December 31, 2024, with net earnings soaring by 28 percent to Kshs. 20.9 billion. This growth underscores the bank’s continued commitment to supporting businesses, individuals, and key economic sectors, reinforcing its role in driving Kenya’s economic progress.
In a move aimed at delivering greater shareholder value, Absa has declared a total dividend payout of Kshs. 9.5 billion, translating to Kshs. 1.75 per ordinary share a 13 percent increase from the previous year.
Expanding Access to Finance during the review period, Absa focused on empowering customers to navigate economic shifts and seize growth opportunities.
Customer loans and advances rose to Kshs. 309 billion, with the bank injecting Kshs. 180 billion in new gross lending across strategic sectors, including manufacturing, trade, commercial property, affordable housing, and renewable energy.
Customer confidence in the bank remained strong, as deposits increased to Kshs. 367 billion. Overall, total revenue grew by 14 percent to Kshs. 62.3 billion, supported by strong funded income of Kshs. 46.2 billion and an 11 percent rise in non-funded income to Kshs. 16.1 billion.
Absa Bank Kenya Managing Director & CEO, Abdi Mohamed, attributed the impressive performance to disciplined execution of strategic initiatives, customer-centric solutions, and a strong focus on innovation.
“Our customers are at the heart of our success, and these results highlight their resilience and ability to grow,” said Mohamed.
“We are committed to making Absa a modern and innovative bank that supports individuals and businesses of all sizes by expanding access to finance, driving economic progress, and enhancing customer experience.”he added.
Absa Bank Kenya Chief Executive Officer Abdi Mohamed and Absa Bank Kenya Chief Financial Officer Yusuf Omari during Q$A session.
Mohamed also underscored the bank’s ongoing digital transformation, with 93.6 percent of transactions now taking place on digital platforms.
Additionally, Absa expanded its agency banking network to 3,000 locations nationwide, with plans to scale up to 17,000 outlets in the next two years.
The bank continued prioritizing support for SMEs, increasing access to financing, mentorship, and digital solutions. Over 35,000 small enterprises and women-led businesses benefited from financial and non-financial skills training.
Corporate and investment banking clients also received tailored solutions through the ‘Invested in Your Story’ campaign, which focused on strategic partnerships and personalized financial support.
As part of its sustainability agenda, Absa advanced over Kshs. 47 billion in sustainable finance and launched the Absa Kenya Foundation.
The foundation focuses on entrepreneurship, education and skills, natural resource management, and humanitarian relief.The bank also reinforced its commitment to sports, sustaining investments in flagship events such as the Magical Kenya Open and the Absa Sirikwa Classics.
Over the past decade, Absa has injected Kshs. 1.4 billion into the sector, underscoring its belief in sports as an economic growth driver.
Absa’s 2024 performance saw a rise in return on equity to 24.5percent enabling strong capital distribution to shareholders. The bank also maintained a robust balance sheet, with capital adequacy at 20.4 percent and a liquidity reserve position of 42.5 percent, both well above regulatory requirements.
Looking ahead, Mohamed reaffirmed Absa’s long-term growth ambitions.
“With a strong balance sheet and solid capital position, we are confident in sustaining our momentum while delivering meaningful impact for our customers, colleagues, and stakeholders,” he stated.
As Absa continues to strengthen its market position, its strategic investments in digital innovation, financial access, and sustainability are expected to further drive growth in Kenya’s dynamic financial sector.
