National Bank of Kenya Profit Rises Sharply in First Year Under Access Bank

National Bank of Kenya (NBK) posted a sharp rise in full-year pretax profit for 2025, signalling a strong turnaround in its first year under Access Bank Plc ownership, as the lender cut costs and improved asset quality.

Pretax profit rose 178% to 2.91 billion Kenyan shillings from 1.05 billion shillings a year earlier, while net profit climbed 125% to 2.39 billion shillings, the bank said.

The results mark NBK’s first full financial year since Access Bank completed its acquisition in May 2025 as part of its expansion into East Africa.

Managing Director George Odhiambo said the performance reflected “disciplined execution” of the bank’s turnaround strategy, including strengthening the balance sheet, improving asset quality and enhancing efficiency.

Net interest income rose to about 10.3 billion shillings, supported by a sharp decline in funding costs, while operating expenses fell to 8.49 billion shillings from 9.18 billion. Loan-loss provisions dropped 37% to around 1.5 billion shillings, pointing to improved credit quality.

The lender also reduced its loan book to 51 billion shillings from 75 billion shillings, reflecting asset transfers following the acquisition and a shift toward more risk-adjusted lending.

Customer deposits rose to about 106 billion shillings, while shareholders’ funds increased to 17 billion shillings, strengthening the bank’s capital position and bringing it into full compliance with regulatory requirements.

NBK said the improved performance underscores early gains from its integration into Access Bank, as it focuses on rebuilding its balance sheet and positioning for sustainable growth.

Looking ahead, the bank expects momentum to continue in 2026, supported by efforts to grow a higher-quality loan portfolio, expand digital services and deepen its presence in Kenya’s banking sector.