Family Bank Reports 38% Surge in Profit After Tax to KES 3.4 Billion in 2024
Family Bank Group has posted an impressive 38 percent growth in profit after tax, rising from KES 2.5 billion to KES 3.4 billion in 2024. The Bank’s profit before tax also recorded a significant increase of 22.5percent , reaching KES 3.9 billion from KES 3.1 billion in 2023.
This strong financial performance was attributed to robust and sustainable revenue growth, a solid capital base, strong liquidity, and improved operational efficiency.
Family Bank’s total revenue grew by 12.5% to KES 15.0 billion, fueled by a 28.8% rise in total interest income to KES 20.3 billion. This growth was driven by a 20.5% increase in earnings from loans and advances, along with a remarkable 62.1% surge in income from government securities. Net interest income expanded by 13.9% to KES 10.7 billion, supported by strategic asset allocation, while non-interest income increased by 8.9% to KES 4.3 billion, propelled by strong growth in fees and commissions.
CEO’s Strategic Outlook“2024 was a year of strategic resilience and strong top-line growth for Family Bank as we successfully concluded our five-year strategy,” said Family Bank Chief Executive Officer Nancy Njau.
“We focused on diversifying our tailored product offerings to meet evolving customer needs while reinforcing our community presence. Despite economic challenges, we remained agile by broadening our revenue streams, supporting key economic sectors such as SMEs, agribusiness, and manufacturing, enhancing operational efficiencies, and deepening customer relationships.”
The Group’s total assets rose by 18.3% to KES 168.5 billion, driven by a 6.9% expansion in the net loan book to KES 92.9 billion, reaffirming the Bank’s commitment to empowering businesses and individuals with access to credit. Customer confidence in the Bank remained high, with deposits increasing by 23.3% to KES 126.4 billion by year-end.Cost Management and Risk Mitigation
The Bank maintained disciplined cost management, limiting the growth of total operating expenses to 9.3%. Notably, loan loss provisions dropped by 48.3% to KES 717.2 million, reflecting improved asset quality and prudent risk management.
Future Outlook“Looking ahead, we have laid a very strong foundation, and our focus remains on scaling and deepening customer experience across all sectors. Our 2025-2029 strategy is anchored on innovation, digital transformation, customer-centricity, data-driven decision-making, and sustainable growth.
With a strong capital base and solid market positioning, we are well-equipped to seize new opportunities and drive long-term value creation,” Njau added.
Family Bank remains well-capitalized, with shareholders’ funds increasing by 32.7% to KES 22.3 billion. The Bank’s core capital ratio stood at 16.2%, while its liquidity ratio remained strong at 43.9%, well above the regulatory threshold.In a move to reward shareholders, the Group’s Board of Directors has proposed a 52% increase in dividend, raising it from KES 0.56 per share to KES 0.85 per share.With these impressive financial results, Family Bank has demonstrated resilience and strategic growth, positioning itself as a key player in Kenya’s banking sector.
